Marketing Food to Children and Adolescents

FEDERAL TRADE COMMISSION
Marketing Food
to Children
and Adolescents
A Review of Industry Expenditures,
Activities, and Self-Regulation
A Report to Congress
Appendices
Federal Trade Commission
July 2008
Marketing Food to
Children and Adolescents
A Review of Industry Expenditures,
Activities, and Self-Regulation
Appendices
July 2008
Federal Trade Commission
William E. Kovacic, Chairman
Pamela Jones Harbour, Commissioner
Jon Leibowitz, Commissioner
J. Thomas Rosch, Commissioner
Report Contributors
Bureau of Consumer Protection
Sarah Botha, Division of Advertising Practices
Keith Fentonmiller, Division of Advertising Practices
Carol Jennings, Division of Advertising Practices
Mary Johnson, Division of Advertising Practices
Kial Young, Division of Advertising Practices
Heather Hippsley, Assistant Director, Division of Advertising Practices
Mary Koelbel Engle, Associate Director, Division of Advertising Practices
Bureau of Economics
Pauline M. Ippolito, Deputy Director, Bureau of Economics
Research Assistants
Todd Dickey, Bureau of Consumer Protection, Division of Advertising Practices
Diana Finegold, Bureau of Consumer Protection, Division of Advertising Practices
Conor McEvily, Bureau of Consumer Protection, Division of Advertising Practices
Colin Conerton, Bureau of Consumer Protection, Honors Paralegal Program
Micah B. Burger, Bureau of Economics
Michelle Y. Kambara, Bureau of Economics
Dane M. Vrabac, Bureau of Economics
Contents
Appendix A: Data and Research Methods
Appendix B: Federal Trade Commission Order to File Special Report
Appendix C: Supporting Data and Tables
Appendix D: FTC Survey of Food and Beverage Display Advertising on Childand Teen-Oriented Websites and Select Data on Food Company
Websites
Appendix E: CBBB Children’s Food & Beverage Advertising Initiative: Tables
Summarizing Individual Food Company Commitments Regarding
Food Marketing to Children
Appendix F: Tables Summarizing Alliance for a Healthier Generation School
Beverage and Competitive Food Guidelines
Appendix A
Data and Research Methods
The 44 companies that received the Order to File Special Report (Special Order)1 are the
primary marketers to children and/or adolescents in those food and beverage product categories
most frequently advertised to that population. The selection of food categories and recipient
companies was based upon a literature review of published studies and trade press reports, an
FTC Bureau of Economics study of children’s exposure to food advertising on television, and
television exposure data purchased from The Nielsen Company.2 For most of the selected food
categories, the target companies constituted the top television advertisers in programs or time
segments where 30% or more of the audience was between the ages of 2 and 17. For the primary
products in these food categories, the companies accounted for 60% to 90% of U.S. sales.
The following 44 companies received and responded to the FTC Special Order:
Boskovich Farms, Inc.
Sunny Delight Beverages Co.3
Burger King Corporation
Kellogg Company
Cadbury Schweppes Americas Beverages
Kraft Foods Inc.
California Giant Berry Farms
LGS Specialty Sales Ltd.
California Milk Advisory Board
Mars, Incorporated
California Milk Processor Board
McDonald’s Corporation
Campbell Soup Company
McKee Foods Corporation
CEC Entertainment, Inc.4
Nestle USA, Inc.
Chiquita Brands International, Inc.
PepsiCo, Inc.
The Coca-Cola Company
PepsiAmericas, Inc.
Coca-Cola Bottling Co. Consolidated
The Pepsi Bottling Group, Inc.
Coca-Cola Enterprises Inc.
The Procter & Gamble Company
ConAgra Foods, Inc.
Ready Pac Produce, Inc.
Del Monte Fresh Produce N.A., Inc.
Red Bull North America, Inc.
Dole Food Company, Inc.
Rockstar, Inc.
General Mills, Inc.
Stemilt Growers Inc.
Grimmway Enterprises, Inc.
Summeripe Worldwide, Inc.
Hansen Natural Corporation
Sunkist Growers, Inc.
The Hershey Company
The Topps Company, Inc.
Imagination Farms, LLC
Unilever United States Inc.
National Fluid Milk Processor Promotion Board5
Wendy’s International, Inc.
Interstate Bakeries Corporation
YUM! Brands, Inc.6
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The Special Order sought data for calendar year 2006. Because the Special Order was sent
to the companies at the beginning of August 2007, with a return date of November 1, 2007,
complete 2007 data would not have been available to the companies. Moreover, as noted in the
Report, 2006 is an appropriate benchmark year – before implementation of the CBBB Children’s
Food and Beverage Advertising Initiative and very early after inauguration of the Alliance for a
Healthier Generation effort to reduce and change the nature of food and beverage marketing in
the schools.
Information about 2006 marketing activities and expenditures was requested for products or
brands in 11 food categories:7
•
Breakfast cereals
•
Snack foods (chips, pretzels, nuts, popcorn, snack bars, crackers, cookies, processed
fruit snacks, gelatin, and pudding)
•
Candy
•
Dairy products (milk and flavored milk drinks, yogurt, yogurt drinks, and cheese)
•
Baked goods (snack cakes, pastries, doughnuts, and toaster baked goods, such as frozen
waffles, French toast sticks, and other toaster pastries)
•
Carbonated beverages
•
Fruit juice and non-carbonated beverages (fruit and vegetable juice, fruit drinks,
fruit-flavored drinks, tea drinks, sports drinks, cocoa, bottled water, and all other noncarbonated beverages)8
•
Prepared foods and meals (frozen and chilled entrees, frozen pizzas, canned soups and
pastas, lunch kits, and packaged entrees, such as macaroni and cheese)
•
Frozen and chilled desserts (ice cream, sherbet, sorbet, frozen yogurt, popsicles and
other frozen novelties, and frozen baked goods)
•
Fruits and vegetables
•
Restaurant food (served in QSRs)9
A. Marketing Expenditures
The Special Order required that companies provide expenditure information for promotional
activities directed toward children (ages 2-11) or adolescents (ages 12-17) or both, for products
or brands in the 11 food categories listed above, in 20 promotional activity categories, as defined
in Attachments B (children) and C (adolescents) to the Special Order. Not all of the reportable
expenditures could readily be divided between those under age 12 and those between 12 and 17.
In fact, some companies reported that for certain products they targeted a “tween” audience that
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includes older children and younger teens (a group generally between the ages of 8 or 9 and 13
or 14). For each promotional activity category, therefore, companies also were asked to state any
amount that was duplicated in the reported child and teen expenditure amounts. Because of this
overlap, the amounts spent for promotions directed to children and those directed to adolescents
cannot simply be added together. In most instances, the total amount for all youth, ages 2-17, is
less than the sum of the child and teen totals.
For food products marketed to children or adolescents in a particular promotional category,
the companies also were required to report the total amount spent in that category to market the
product to all audiences, according to definitions and instructions in Attachment D to the Special
Order. Finally, for any product marketed to children or adolescents in any promotional category,
each company also was required to report its overall marketing expenditures to all audiences
for that product. The information about promotional activity totals and overall expenditures
for those products marketed to children or adolescents was included in the request so that the
reported expenditures for youth could be placed in context. For products within the designated
food categories for which there were no reportable expenditures for children or teens in 2006, no
additional information was sought.10 Therefore, where expenditures for marketing to children,
adolescents, or both are stated in the Report as a percentage of total marketing expenditures, the
total refers only to those products, within the designated food categories, that were promoted to
youth, not all products that may have been advertised and sold by the company.
Expenditure data were reported for each of the following 20 marketing categories:11
•
Television
•
Radio
•
Print
•
Company-sponsored websites
•
Other Internet advertising
•
Packaging and labeling
•
Movie theater/video/video game advertising
•
Other digital advertising (such as email and text messaging)
•
In-store marketing12
•
Specialty item or premium distribution
•
Public entertainment events13
•
Product placement
•
Character licensing/cross-promotions/toy co-branding
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•
Sponsorship of sports teams or athletes14
•
Word-of-mouth marketing15
•
Viral marketing16
•
Celebrity endorsements
•
In-school marketing17
•
Advertising in conjunction with philanthropic endeavors18
•
Other promotional activities
Each category was defined separately as it pertains to children (Attachment B to the Special
Order) and adolescents (Attachment C to the Special Order). For measured media,19 including
television, radio, print, and some Internet advertising, the definitions used objective criteria,
e.g., indication in a company marketing plan that the advertising was directed to children or
adolescents, or actual audience share. For children, ages 2-11, the audience share for television,
radio, or print advertising that would be considered “targeted” toward children was 30%, while
for adolescents, ages 12-17, the relevant share was 20%.20 For both age groups, the audience
percentage share is approximately double the proportion of that group in the U.S. population.
The Commission concluded that these audience shares likely would ensure capturing most
programming (or publications) targeted to children or adolescents, while not also including
substantial amounts of adult programming that happens to have some young people in the
audience.
Companies were asked to report separately their expenditures for television advertising that
appeared during or contiguous to21 the following top five broadcast television programs watched
by adolescents 12-17 during the 2005-2006 television year:22 American Idol, American Dad,
Family Guy, Unan1mous, and The Simpsons. None of these programs reached the threshold
of a 20% teen audience; however, the programs attracted large numbers of adolescents, and
even children under 12. The expenditures for these programs have not been included in the
overall aggregation of money spent for advertising directed toward children or adolescents.
The information has been noted separately, and serves to illustrate the point that children and
adolescents are exposed to a great deal of advertising that is directed to a general, primarily
adult, audience.
With respect to Internet ads (for which the audience may or may not be measured), the
criteria included a 20% audience share23 or reference to target audience in a company marketing
plan, as well as theme or content criteria, such as use of animated or licensed characters, use
of celebrity endorsers popular with children or adolescents, use of language or young models
that indicate the site is directed to children or adolescents, or promotion of child or adolescent
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themes, activities, or other incentives. With respect to movie theater, video, or video game
advertising, references to particular ratings by the Motion Picture Association of America or the
Entertainment Software Rating Board were added to the list of other criteria.24 A similar mix
of objective (wherever possible) and subjective criteria were employed for all of the remaining
categories of advertising and promotional activities.25 The Commission endeavored to structure
the criteria so as to provide the target companies with as much specific guidance as possible in
determining which marketing expenditures to report.
Certain promotional activities, such as character licensing and celebrity endorsements,
are likely to overlap with other promotional uses. A licensed character, for example, may be
used to promote a product in multiple promotional activity categories, such as television, the
Internet, packaging, and point-of-sale materials in stores. For character licensing and celebrity
endorsements, therefore, the Special Order asked the companies to report the amount paid
as a licensing or endorser fee, and to indicate the expenditures reported in other promotional
activities that represented the implementation of the character license or celebrity endorsement.
These amounts are not double-counted in arriving at totals, but they enable separate reporting of
amounts expended in cross-promotional activities and celebrity endorsements.
The companies were asked to provide expenditure data both electronically and in print by
means of an Excel spread sheet that was provided as an attachment to the Special Order. To
protect the confidentiality of financial information reported by the individual companies, the
expenditure data are reported, in Section II of this Report, only in aggregated amounts, by food
category and by promotional techniques used.
B. Company Objections to Special Order Criteria
Some companies lodged objections to the Special Order criteria for advertising and
promotional activities directed to children and adolescents. In particular, a number of companies
objected to the audience share criteria – 30% for children under 12 and 20% for adolescents
12-17 – for determining whether television advertising is child-directed or teen-directed.26
The Commission acknowledges that defining “children’s advertising” or “teen advertising” is
difficult and inherently imprecise. Yet in framing the Special Order to require the companies to
submit expenditure and other data, the Commission was compelled to provide objective criteria,
whenever possible, both to give the companies adequate guidance to respond to the Special
Order and to ensure that the data received and reported were consistent across the industry.
Therefore, for measured media, the focus was placed on programming that attracts young people
in numbers vastly disproportionate to their presence in the population.
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As noted in the FTC Bureau of Economics study described in Section I of the Report,
television viewing has changed significantly over the past three decades.27 Because of the growth
of cable television, there are more program choices today and more specialized programming
appealing to narrower audience segments. Few shows on broadcast television attract audiences
with a significant percentage of children. On cable television, on the other hand, a number
of programs target children and attract a large child audience. For adolescents, programs that
attract an audience share that is double their presence in the population exist almost exclusively
on cable television. Given these trends, the Commission believes that the criteria used in the
Special Order were reasonable and likely to capture advertising targeted to those audiences. In
fact, a few companies acknowledged that some advertising placed on programs popular with
teens, but not meeting the 20% audience share, was in fact targeted to adolescents according
to their own marketing plans. The Commission acknowledges that there may be anomalies in
the data – instances where the criteria caused inclusion of advertising that was adult directed.
A few companies pointed out such situations in their reports. However, the Commission does
not believe that these instances were numerous and concludes that, in general, the expenditure
information presented in the report is an accurate reflection of 2006 marketing to children and
teens.
C. Data Purchased from Third Parties
In certain instances, the Commission purchased data from third parties in order to evaluate
specific issues related to food marketing to children and teens. First, as noted above, the
Commission purchased television exposure data from The Nielsen Company to help inform the
selection of recipient companies. Second, as described in detail in Appendix D, the Commission
relied on Nielsen//NetRatings’ NetView and AdRelevance services to provide an additional
measure of Internet advertising directed to children and adolescents. Used in combination,
these services measured impressions for display ads for foods and beverages (within the 11 food
categories included in the FTC study) on child- and teen-oriented websites. In addition, NetView
provided data on the amount of time visitors spent on food or beverage company websites
featuring content and activities with strong appeal to children or adolescents, as well as on
cross-visiting between such websites. Use of the Nielsen//NetRatings data, as an adjunct to the
Internet expenditures reported by the companies, provides a fuller assessment of child and teen
exposure to online food marketing.
Third, the Commission purchased data from NPD Group, Inc., regarding the number of QSR
children’s meals with toys sold from 2005 to 2007. As noted in Section II.C.4.b. of the Report,
the FTC Special Order instructed companies that when reporting expenditures for premiums
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directed to children or adolescents, they should deduct any payments made by consumers for the
premium items. As a result, toy premiums distributed as self-liquidating promotions – where the
cost of the toy was covered by the consumer’s purchase of the food product – would not have
triggered a reportable expense. Nevertheless, toy premiums are a significant component of some
food marketing campaigns directed to children, particularly those conducted by QSRs. For this
reason, the Commission has separately calculated expenditures associated with toy premiums
purchased in connection with QSR children’s meals, relying on NPD’s CREST Commercial data
and on average toy unit costs obtained from other public sources.
Endnotes
1.
Because the Special Order was sent to more than nine entities, the Paperwork Reduction Act, 44 U.S.C. § 3501
et seq., required the Commission to obtain Office of Management and Budget (OMB) approval to conduct the
study. The Commission published two Federal Register notices, at 71 Fed. Reg. 62,109 (Oct. 23, 2006) and 72
Fed. Reg. 19,505 (Apr. 18, 2007), in connection with the OMB submission. OMB approved the Commission’s
proposal to conduct the study on July 18, 2007.
2.
The Nielsen data included ranking of the top 20 national television advertisers for various reporting weeks in
2005-2006, as determined by Gross Rating Points for the 2-17 age group, for food and beverage categories
identified by the Commission based on specific Nielsen Product Classification Codes.
3.
The Special Order initially was sent to the parent company, J.W. Childs Associates, L.P.
4.
CEC Entertainment, Inc. owns the Chuck E. Cheese restaurant chain.
5.
Responsibility for the MilkPEP promotional campaign was transferred from the International Dairy Foods
Association, an initial recipient of the FTC Special Order, to the National Fluid Milk Processor Promotion
Board, which was subsequently served with and responded to the FTC Special Order. Three dairy boards were
included in the study because many dairy product promotional efforts are handled on a non-branded basis by
such boards.
6.
YUM! Brands, Inc. is the sole owner of Wingstreet, LLC and is the parent company of KFC Corporation,
A&W Restaurants, Inc., Long John Silver’s, Inc., Pizza Hut, Inc., and Taco Bell Corp. restaurants.
7.
In general, foods were grouped together using standard industry product classification codes. The definitions
of the food categories, including items excluded from some categories, are set forth in Attachment A to the
Special Order (which is Appendix B to this Report). The Commission excluded certain food categories,
such as condiments (including applesauce) and spreads (such as peanut butter), which occasionally, but not
frequently, are advertised to children. Gum was also excluded because it is not a food that is ingested.
8.
In the Special Order, energy drinks were included in the non-carbonated beverages category. Most companies
selling such drinks reported their expenditures and activities in the carbonated beverages category, however,
because most such drinks are carbonated. For purposes of this Report, all energy drinks have been grouped in
the carbonated beverages category.
9.
Restaurant menu items were not separated by types of food. Children’s advertising by QSRs tends to focus
on the restaurant as a fun experience, or on toys available with children’s meals, rather than on particular food
offerings.
10. In some instances, companies reported “all audience” expenditures for promotional categories, with no
reported child or teen expenditures. In other instances, they reported total marketing expenditures for products
or brands, with no reported child or teen expenditures. This information, which was not required by the
Special Order, was not included in the aggregated data.
11. Many of these categories were specifically enumerated in the congressional request; others were made evident
through background research conducted by the FTC.
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12. The in-store category includes advertising displays and promotions at a retail site, including the offering of free
samples and allowances paid to facilitate shelf placement or merchandise displays.
13. Public events include sporting events, concerts, activities at theme parks and shopping malls, and company
promotional tours.
14. This category includes sponsorship of amateur and professional athletes, teams, and leagues, including youth
teams or leagues.
15. Word-of-mouth marketing occurs when companies provide financial or product incentives to non-employees to
encourage them to promote a food product or brand to other consumers.
16. Company-sponsored digital promotional messages that consumers can interact with and pass along to others
are considered to be “viral marketing.” This includes content developed for video, audio, or image file-sharing
websites, company-sponsored blogs or social networking profiles, and other content posted on the Internet that
is intended to be sent from one consumer to another, such as “send-to-a-friend” emails.
17. In-school marketing includes the use of trade names, logos, signs, displays, or other branded materials in or
around school cafeterias, vending machines, or gymnasiums; at school events, youth athletic events, athletic
fields or areas; and on school buses or closed-circuit television channels. Companies also were asked to
include payments made to schools pursuant to vending contracts.
18. Companies were asked to report only the costs of advertising or promotional activities in conjunction with a
donation to a child- or teen-oriented charitable organization, program, or event, not the amount of the donation
itself.
19. For “measured” media, audience composition is measured by third-party monitoring services. For
“unmeasured” media, such audience measurement services do not exist.
20. The Special Order stated that the specified audience was “as measured on an annual basis.” This was done to
prevent inclusion of unusual situations – whereby an adult program might attract a large child or teen audience
because of a special guest appearance, for example.
21. Advertisements contiguous to a program would be those placed in the commercial segments immediately
before or after the program.
22. Source: The Nielsen Company.
23. For Internet advertising, a 20% user/viewer share was used for both children and adolescents because this level
is approximately double the proportion of both age groups in the population of active Internet users during
2006 (source: Nielsen//NetRatings NetView (Home and Work Panel)).
24. Advertising in or contiguous to movies or videos rated G by the Motion Picture Association of America was
considered to be child-directed, while advertising in or contiguous to those rated PG was considered to be teendirected. A rating of PG-13 was not used as a criterion for identifying child- or teen-directed advertising, based
on the fact that many PG-13 rated movies are targeted to a general audience. Clearly, however, some movies
rated PG are targeted to children and some rated PG-13 are targeted to an adolescent or, notwithstanding the
rating, even a child audience. Superman Returns, a 2006 movie, was rated PG-13, for example. As noted
in Section III of the Report, many of the youth-directed expenditures for advertising connected to Superman
Returns were reported as adolescent expenditures, based on the PG-13 rating. Some of the Superman
expenditures were reported as child-directed.
25. The criteria included factors such as: indication in a marketing plan that the event, activity, or sponsorship was
intended to reach children and/or teenagers; the participation of children and/or teens was actively sought or
encouraged; and children and/or teens comprised specified shares of the audience or participants.
26. For advertising that met the audience share criteria, the Special Order required that the entire cost be reported.
Some companies contended that it would have been more appropriate to report only a percentage of the cost,
based upon the child or adolescent share of the audience.
27. FTC Bureau of Economics Staff Report, Children’s Exposure to TV Advertising in 1977 and 2004:
Information for the Obesity Debate 4-6 (2007), available at www.ftc.gov/os/2007/06/cabecolor.pdf.
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Appendix B
Federal Trade Commission
Order to File Special Report
OMB Control No. 3084-0139
Expires 7/31/2010 1
UNITED STATES OF AMERICA
BEFORE FEDERAL TRADE COMMISSION
COMMISSIONERS:
Deborah Platt Majoras, Chairman
Pamela Jones Harbour
Jon Leibowitz
William E. Kovacic
J. Thomas Rosch
FTC Matter No. P064504
ORDER TO FILE SPECIAL REPORT
Pursuant to a resolution of the Federal Trade Commission dated July 31, 2007, titled
“Resolution Directing Use of Compulsory Process to Collect Information for Use in Preparing a
Report to Congress Regarding the Marketing of Food and Beverages to Children and
Adolescents,” a copy of which is enclosed,
, hereinafter referred to as “the
company,” is ordered to file with the Commission, no later than 90 days after the date of issuance
of this Order, a Special Report containing the information and documents specified herein.2
The information provided in the Special Report will assist the Commission in compiling
a report that Congress instructed the FTC to prepare regarding food industry marketing activities
and expenditures targeted toward children and adolescents.3
The Special Report should restate each item of this Order with which the corresponding
answer is identified. Your report is required to be subscribed and sworn to by an official of the
Under the Paperwork Reduction Act, as amended, an agency may not conduct or
sponsor, and a person is not required to respond to, a collection of information unless it displays
a currently valid OMB control number. For this information request, that number is 3084-0139.
1
For purposes of this Order, the term “the company” includes all of the entities identified
in response to specification 1.B, below.
2
See Conference Report to Pub. L. No. 109-108, H.R. Rep. No. 109-272 (2005)
(incorporating language from S. Rep. No. 109-88 (2005)). For purposes of this Order, the term
“children” includes individuals ages 2-11 and the term “adolescents” includes individuals ages
12-17.
3
1
B-1
company who has prepared or supervised the preparation of the report from books, records,
correspondence, and other data and material in your possession. If any question cannot be
answered fully, give the information that is available and explain in what respects and why the
answer is incomplete. The Special Report and all accompanying documentary responses should
be bates-stamped.
Please provide the following information and documents, consistent with the definitions,
instructions, and formatting requirements contained in Attachments A, B, C, D, and E:
1.
A.
Identification of Report Author: Identify by full name, business address,
telephone number, and official capacity, the officer of the company who has
prepared or supervised the preparation of the company’s response to this Order.
B.
Company Information: Identify the company by full name, address, and state of
incorporation. If the company is a subsidiary company, identify the full name and
address of its ultimate parent company.4 In addition, identify each subsidiary,
joint venture, affiliated company, partnership, or operation under an assumed
name that the company controls, and that engages in the manufacturing, labeling,
advertising, promoting, marketing, offering for sale, sale, or distribution of any
food5 product in the United States.
C.
Identification of Food Categories: From the following categories, identify each
category of food product advertised, promoted, marketed, offered for sale, sold, or
distributed by the company in the United States, during the calendar year 2006. In
preparing this response, refer to the food category definitions set forth in
Attachment A to this Order.
(1)
(2)
(3)
(4)
(5)
Breakfast cereals
Snack foods
Candy
Dairy products
Baked goods
For purposes of this Order, “subsidiary company” means a company that is controlled
by another entity; “ultimate parent company” means an entity that controls another company and
is not controlled by another entity. Furthermore, for purposes of this Order, “control” (as used in
the terms “control(s)” and “controlled”) means either holding 50 percent or more of the
outstanding voting securities of an issuer or in the case of an entity that has no outstanding voting
securities, having the right to 50 percent or more of the profits of the entity, or having the right in
the event of dissolution to 50 percent or more of the assets of the entity.
4
For purposes of this Order, “food” means any food or beverage intended for human
consumption.
5
2
B-2
(6)
(7)
(8)
(9)
(10)
(11)
D.
Carbonated beverages
Fruit juice and non-carbonated beverages
Prepared foods and meals
Frozen and chilled desserts
Fruits and vegetables
Restaurant food
Identification of Food Products: For each of the food categories identified in
response to Specification 1.C, above, identify each brand of food products, and
each sub-brand or brand variant within the brand, that the company advertised,
promoted, marketed, offered for sale, sold, or distributed in the United States,
during the calendar year 2006. For each brand, identify which entity within the
company, identified in response to Specification 1.B, above, is responsible for that
brand.
Exception for Non-Advertised Sub-Brands and Brand Variants:
Identify distinct sub-brands and brand variants in response to this
Specification 1.D, only if the company engaged in any form of advertising
or promotional activity, as defined in Attachment D to this Order, for those
distinct sub-brands and brand variants.
Non-Branded Fruit, Vegetable, or Dairy Products: For any nonbranded fruit, vegetable, or dairy products that the company advertised,
promoted, marketed, offered for sale, sold, or distributed, list the
individual fruit, vegetable, or dairy product varieties.
Restaurant Foods: For the restaurant food category, identify only the
name of the restaurant chain(s) and state which entity within the company,
identified in response to Specification 1.B, above, is responsible for the
restaurant chain.
E.
2.
Identification of Food Products Bearing Nutritional Seals or Icons: Does the
company offer a line of food products bearing a nutritional icon, seal, or symbol,
or otherwise identified as “better for you,” healthier, more nutritious, lower
calorie, or lower fat than other products? If so, state the name of the nutritional
product line or icon; identify the nutritional criteria for inclusion of a food product
in the product line; and identify the food categories, brand names, and sub-brands
or brand variants of food products sold in the product line, or for the restaurant
food category, identify the specific menu items included in the product line.
Expenditures on Marketing Food Products: For each brand of food products, subbrand or brand variant, restaurant chain, or non-branded fruit, vegetable, or dairy product
variety identified in response to Specification 1.D, above (collectively and hereafter,
3
B-3
“food product”), report in Attachment E to this Order6 the expenditure data requested in
subparagraphs 2.A through 2.E, below, within the following advertising and promotional
activity categories:
(a)
(b)
(c)
(d)
(e)
(f)
(g)
(h)
(i)
(j)
(k)
(l)
(m)
(n)
(o)
(p)
(q)
(r)
(s)
(t)
Television advertising
Radio advertising
Print advertising
Company-sponsored Internet sites
Other Internet advertising
Packaging and labeling
Movie theater/video/video game advertising*
Other digital advertising*
In-store advertising and promotions*
Specialty item or premium distribution*
Promotion or sponsorship of public entertainment events*
Product placements*
Character licensing, toy co-branding, and cross-promotions*
Sponsorship of sports teams or individual athletes*
Word-of-mouth marketing*
Viral marketing*
Celebrity endorsements*
In-school marketing*
Advertising in conjunction with philanthropic endeavors*
Other promotional activities*
A.
Marketing Toward Children: Report the dollar amount expended by the
company, during the calendar year 2006, within each advertising and promotional
activity category listed above for marketing targeted toward children. Follow the
instructions and definitions in Attachment B to this Order (Advertising and
Promotional Activities Targeted Toward Children), and report these expenditures
in columns 6, 10, 14, 18, 22, 26, 30, 34, 38, 42, 46, 50, 54, 58, 62, 66, 70, 74, 78,
and 82 of Attachment E.
B.
Marketing Toward Adolescents: Report the dollar amount expended by the
company, during the calendar year 2006, within each advertising and promotional
activity category listed above for marketing targeted toward adolescents. Follow
the instructions and definitions in Attachment C to this Order (Advertising and
An electronic version of Attachment E, an Excel spreadsheet, is provided on the
included CD.
6
For special instructions on reporting expenditures in these categories, see the
instructions for Attachments B, C, and D to this Order.
*
4
B-4
Promotional Activities Targeted Toward Adolescents), and report these
expenditures in columns 7A, 7B, 11, 15, 19, 23, 27, 31, 35, 39, 43, 47, 51, 55, 59,
63, 67, 71, 75, 79, and 83 of Attachment E.
C.
Duplicative Marketing: Report any expenditures reported in response to
Specification 2.B that are duplicative of expenditures reported in response to
Specification 2.A. Report these duplicative expenditures in columns 8, 12, 16, 20,
24, 28, 32, 36, 40, 44, 48, 52, 56, 60, 64, 68, 72, 76, 80, and 84 of Attachment E.
D.
Marketing for All Audiences: For each food product for which the company
reported expenditures within one or more advertising or promotional activity
categories in response to Specification 2.A or 2.B, report:
E.
i.
the total dollar amount expended by the company, during the calendar year
2006, to market the product within each category in which the company
reported expenditures in response to Specification 2.A or 2.B. Follow the
instructions and definitions in Attachment D to this Order (Advertising
and Promotional Activities for All Audiences), and report these
expenditures in columns 9, 13, 17, 21, 25, 29, 33, 37, 41, 45, 49, 53, 57,
61, 65, 69, 73, 77, 81, and 85 of Attachment E; and
ii.
the total dollar amount expended by the company, during calendar year
2006, for all advertising and promotional activities to market the product.
Follow the instructions and definitions in Attachment D to this Order (All
Audiences), and report these expenditures in column 86 of Attachment E.
Additional Information: For each food product for which expenditures are
reported in response to Specification 2.A or 2.B, provide the following additional
information, using the format set forth in Attachment E:
i.
company name (column 1);
ii.
food category, identified in response to Specification 1.C, above (column
2);
iii.
brand name or name of restaurant chain, identified in response to
Specification 1.D, above (column 3);
iv.
sub-brand or brand variant, identified in response to Specification 1.D,
above, if relevant (column 4); and
v.
an indication (“Y” or “N”) of whether the food product is part of a
nutritional product line, identified in response to Specification 1.E, above
5
B-5
(column 5).
3.
Descriptions and Samples of Advertising and Promotional Activities: If, in response
to Specification 2.A or 2.B, above, expenditures are reported for any food product within
any of the advertising and promotional activity categories set forth in Specification 2(d)
through (t), list and provide samples of (or list and describe in detail, if providing samples
is not practicable) the specific advertising and/or promotional activities for each food
product in each of these categories for which expenditures are reported.
4.
Advertising or Promotional Activities Without Reportable Expenditures:
5.
A.
Identify which food products identified in response to Specification 1.D, if any,
the company advertised or promoted to children or adolescents, as defined in
either Attachment B or C to this Order during the calendar year 2006, but for
which the company reported no advertising or promotional activity expenditures
in response to Specification 2.7
B.
For each food product identified in response to Specification 4.A, list and provide
samples of (or list and describe in detail, if providing samples is not practicable)
each instance of such advertising and/or promotional activity by the advertising
and promotional activity categories set forth in Specification 2(a) through (t).* For
each reportable activity, identify whether the activity met one or more of the
definitions set forth in Attachment B or one or more of the definitions set forth in
Attachment C, or whether the activity met the definitions set forth in both
Attachments B and C.
A.
Policies on Food Marketing: Identify and describe all company policies, plans,
and directives, whether formally adopted or informally issued, in place on or after
January 1, 2006, pertaining to food advertising and promotional activities targeted
to children or adolescents, as defined in Attachments B or C, including policies
regarding use or non-use of all advertising and promotional activities. Describe
the steps taken to implement these policies, including directions to internal or
external staff responsible for advertising preparation, review, or dissemination
regarding the meaning of these policies and how to comply with them. Provide
copies of all such policies and directions to internal or external staff.
Examples of such a reportable activity would be use of a licensed character, a celebrity
endorser, a product placement, or co-branding of a toy where no payment is made or costs
incurred with such an arrangement.
7
For special instructions on reporting activities in categories (g) through (t), see the
instructions for Attachments B and C to this Order.
*
6
B-6
6.
B.
Market Research: Since January 1, 2005, has the company sponsored or
commissioned any marketing research studies regarding the appeal to individuals
under the age of 18 of any particular types of advertising or promotional
techniques, including the effectiveness of any particular types of advertising or
promotional techniques in increasing interest in or consumption of any food
product among individuals under the age of 18? If the answer is “yes,” provide
copies of such studies and describe how the resulting data has been incorporated
into the company’s marketing practices.
A.
Initiatives on Healthy Eating and Lifestyle: Identify and describe all company
policies, programs, initiatives, or activities undertaken or implemented by the
company, on or after January 1, 2006, to encourage healthy eating and lifestyle
choices by children and adolescents. These may include, but are not limited to,
the following:
(1)
development of new products or reformulation of existing products that
are lower in calories and more nutritious and are marketed to children or
adolescents;
(2)
efforts to make nutritious, lower-calorie products appealing to children or
adolescents and convenient for them to consume;
(3)
packaging of nutritious, lower-calorie products in ways that are appealing
to children or adolescents;
(4)
packaging of products marketed to children or adolescents in smaller
portions or single servings to assist them in controlling portion size and
calorie intake;
(5)
labeling initiatives, such as nutritional icons or seals, to help consumers
more easily identify nutritious, lower-calorie products;
(6)
measures to improve the overall nutritional profile of products marketed to
children and adolescents (e.g., minimum nutritional standards for products
marketed to children and adolescents or standards that shift such
marketing to emphasize nutritious, lower-calorie products);
(7)
public education efforts, such as messages targeted to children or
adolescents addressing nutrition and physical fitness, including any
partnerships or cross-promotional arrangements of any sort with other food
and beverage companies, media outlets, non-profit organizations, or other
entities for the purpose of promoting healthier eating, increased physical
activity and/or healthier lifestyles;
7
B-7
(8)
B.
7.
efforts to improve the overall nutritional profile of products marketed and
sold to children or adolescents in schools.
Research on Initiatives: Has the company conducted research or otherwise
obtained data to evaluate the effectiveness of any of the policies, programs,
initiatives, or activities identified and described in response to Specification 6.A,
above, including any studies regarding the appeal to individuals under the age of
18 of any of the company’s more nutritious, lower-calorie food products and/or
any advertising or promotional activities contemplated or used to market such
products? If the answer is “yes,” provide copies of such research or other data.
Marketing to Children and Adolescents by Gender, Race, Ethnicity, or Income
Level: Have any of the advertising or promotional activities for which expenditures and
activities are reported in response to Specifications 2.A, 2.B, 3, or 4, above, been
specifically directed, according to a marketing plan8 or by virtue of advertising placement,
language used, characters used, or other content, to individuals of a specific gender, race,
ethnicity, or income level? If the answer is “yes,” please indicate which expenditures
reported in response to Specifications 2.A and 2.B and which advertising or promotional
activities listed in response to Specifications 3 and 4 were directed in such manner and
indicate the particular sub-population to which they were directed.
Please file the Special Report called for in this Order no later than 90 days after the date
of issuance of the Order, or by November 1, 2007.
All responses should be provided in two (2) printed copies and in electronic form (by CD
or as email attachments), formatted as Word or Word Perfect documents, with the exception of
the responses to Specification 2, which should be provided in two (2) printed copies and in
electronic form (by CD or as email attachments) on the included Excel Spread Sheet. A sample
Excel Spread Sheet is attached to this Order as Attachment E and provided on the included CD.
All responses should be labeled to indicate the Specification to which the information or data
responds. All files contained in electronic submissions should have a file name that includes the
company name, Specification numbers included in the file, and date of the submission, in the
following format: [COMPANY-NAME]_Spec._[SPEC. #'S]_[MM-DD-YY].
Penalties may be imposed under applicable provisions of federal law for failure to file
Special Reports or for filing false reports.
8
See infra note 11 for the definition of “marketing plan.”
8
B-8
By direction of the Commission.
Deborah Platt Majoras
Chairman
SEAL
Date of Order: July 31, 2007
The Special Report required by this Order,
or any inquiry concerning it, should be
addressed to the attention of:
Mary Johnson
Division of Advertising Practices
Federal Trade Commission
601 New Jersey Avenue, NW, NJ-3212
Washington, D.C. 20580
(202) 326-3115 telephone
(202) 326-3259 facsimile
[email protected]
or
Keith Fentonmiller
Division of Advertising Practices
Federal Trade Commission
601 New Jersey Avenue, NW, NJ-3212
Washington, D.C. 20580
(202) 326-2775 telephone
(202) 326-3259 facsimile
[email protected]
9
B-9
Attachment A
Food Categories
For purposes of this Order, the food categories9 set forth in Specification 1.C. include the
following items:
(1)
Breakfast cereals all cereals, whether intended to be served hot or cold (PCC F122)10
(2)
Snack foods snack chips (such as potato chips, tortilla chips, and corn chips), pretzels,
snack nuts (salted and roasted), popcorn, snack bars (including breakfast and cereal bars),
crackers, cookies, processed fruit snacks (such as fruit leather), gelatin, and pudding
(PCC F115, F163, F212)
(3)
Candy chocolate and other candy bars, other chocolate candy, hard candy, chewy candy
(including licorice, gummi candy, and jelly beans), and sour candy (PCC F211, excluding
gum and breath mints)
(4)
Dairy products milk (including flavored milk drinks), yogurt, yogurt drinks, and
cheese (but not frozen dairy products, such as ice cream or frozen yogurt) (PCC F131,
excluding butter, eggs, and cream, F132, F139, excluding cottage cheese and sour cream,
F223)
(5)
Baked goods snack cakes, pastries, doughnuts, and toaster baked goods (such as frozen
waffles, French toast sticks, and toaster pastries) (PCC F161, excluding bread, rolls,
bagels, breadsticks, buns, croissants, taco shells, and tortillas, F162)
(6)
Carbonated beverages all carbonated beverages, both diet and regular (PCC F221,
F222)
(7)
Fruit juice and non-carbonated beverages fruit juice, juice drinks, fruit-flavored
drinks, vegetable juice, tea drinks, energy drinks, sports drinks, cocoa, bottled water, and
all other non-carbonated beverages; include ready-to-pour beverages as well as those sold
in concentrated or powdered form (PCC F171, excluding all varieties of coffee, F172,
F173, F224)
(8)
Prepared foods and meals frozen and chilled entrees, frozen pizzas, canned soups and
pasta, lunch kits, and non-frozen packaged entrees (such as macaroni and cheese) (PCC
The food categories are intended to be mutually exclusive. Do not include a food
product in more than one category.
9
The PCC codes listed in Attachment A are Nielsen Media Research categorizations
and are provided as a reference.
10
A-1
B-10
F121, F125, F126)
(9)
Frozen and chilled desserts ice cream, sherbet, sorbet, popsicles and other frozen
novelties, frozen yogurt, and frozen baked goods (including frozen pies and cakes, but not
those frozen breakfast items listed above under “baked goods”) (PCC F133)
(10)
Fruits and vegetables all fruits and vegetables, whether sold fresh (packaged or loose),
canned, frozen, or dried (PCC F141, F142, F143)
(11)
Restaurant food menu items offered in the restaurant (PCC G330, excluding banquet
facilities, comedy clubs, dining clubs, dinner theaters, and nightclubs)
A-2
B-11
Attachment B
Advertising and Promotional Activities Targeted Toward Children
INSTRUCTIONS
Use the following definitions for purposes of reporting the advertising expenditures and
activities requested in Specifications 2.A, 2.C, 3, 4, and 7. The terms provided in parentheses
after each advertising or promotional activity category are the codes used in Attachment E to
designate expenditures in the category. These codes should be used by the company when
preparing its response to Specification 2, following the format set forth in Attachment E. Except
where otherwise noted, the media categories set forth below are mutually exclusive. Do not
report an expenditure in more than one category, unless otherwise directed. Also, limit reported
expenditures to advertising and promotional activities that were conducted in the United States
(including the U.S. territories).
For the advertising and promotional activity categories listed in (a) through (f), below,
report expenditures to the nearest $10,000. For the advertising and promotional activity
categories listed in (g) through (t), below, the company may report expenditures in the following
ranges: $10,000 to $50,000; $50,000 to $100,000; $100,000 to $250,000; and then in increments
of $250,000.
Special Instructions for Reporting Expenditures in Categories (g) through (t) in
Response to Specification 2.A for Certain Food Categories: For any food product identified
in response to Specification 1.D and that also falls within the food categories listed in
Specification 1.C.(1) through (5), (8) or (9), the company need not report expenditures in
response to Specification 2.A for the advertising and promotional activity categories listed in (g)
through (t), if both of the following conditions are met:
(1)
The company had no reportable expenditures for the food product in response to
Specification 2.A for any of the advertising and promotional activity categories
listed in (a) through (f) of this Attachment B; and
(2)
No marketing plan11 for the food product indicates that the company planned or
engaged in any form of advertising or promotional activity for the product during
the calendar year 2006 that was intended to reach an audience that, in whole or in
A “marketing plan” includes documents addressing advertising and marketing
objectives and strategies, themes, or concepts, as well as media recommendations, media plans,
marketing reports, business studies, creative strategies or briefs, category management plans,
media exposure projections, and any other documents that set out, describe, or discuss the
planned or actual approaches for marketing, advertising, or promoting a food brand, food product
line, food product, or restaurant chain, whether created by the company or by its agents,
including but not limited to ad agencies, media buyers, or advertising consultants.
11
B-1
B-12
part, consisted of children ages 2-11.
Special Instructions for Reporting Activities in Categories (g) through (t) in
Response to Specification 4.A or 4.B for Certain Food Categories: For any food product
identified in response to Specification 1.D that also falls within food categories 1.C.(1) through
(5), (8) or (9), the company need not report, in response to Specification 4.A or 4.B, activities for
the advertising and promotional activity categories listed in (g) through (t) of this Attachment B,
if both of the following conditions are met:
(1)
The company had no reportable activities for the food product in response to
Specification 4.A or 4.B for any of the advertising and promotional activity
categories listed in (a) through (f) of this Attachment B; and
(2)
No marketing plan for the food product indicates that the company planned or
engaged in any form of advertising or promotional activity for the product during
the calendar year 2006 that was intended to reach an audience that, in whole or in
part, consisted of children ages 2-11.
DEFINITIONS
(a)
(b)
Television advertising (TV AD) means advertising on broadcast, cable, or satellite
television channels, including during syndicated programming, or branded messages
relating to company sponsorship or underwriting of a television program, excluding
product placements. Report television advertising expenditures if any of the following
apply:
1.
A marketing plan specifically indicates that the television advertising was
intended to reach children under age 12; or
2.
The advertising appeared in, during, or contiguous to any television program,
programming block, or daypart that had a viewing audience consisting of 30% or
more children ages 2-11, as measured on an annual basis.12
Radio advertising (RAD AD) means advertising on AM, FM, HD Radio, or satellite
radio channels, excluding product placements. Report radio advertising expenditures if
any of the following apply:
1.
A marketing plan specifically indicates that the radio advertising was intended to
reach children under age 12; or
A 30% audience share was chosen for children ages 2-11 because this level of
audience share is approximately double the proportion of that group in the general U.S.
population.
12
B-2
B-13
2.
(c)
(d)
The advertising appeared in, during, or contiguous to any radio program,
programming block, or daypart for which children ages 2-11 constituted at least
30% of the listening audience, as measured on an annual basis.
Print advertising (PRT AD) means advertising placed in magazines, comic books,
newspapers (including advertising placed in free-standing inserts), or other print
publications. Report print advertising expenditures if any of the following apply:
1.
A marketing plan specifically indicates that the print advertising was intended to
reach children under age 12; or
2.
The advertising appeared in a publication for which children ages 2-11 constituted
at least 30% of the readers and/or subscribers, as measured on an annual basis.
Company-sponsored Internet sites (WEBSITE AD) means any company-sponsored
Internet site or page that contains information about or images of the company’s food
brands or products, including, but not limited to, advergames,13 and that can be accessed
by computers located in the United States, regardless of where the site is located or the
Internet address of the site or page. Report expenditures on, and activities associated
with, company-sponsored Internet sites if any of the following apply:
1.
A marketing plan specifically indicates that the site or page was intended to reach
children under age 12;
2.
Audience demographic data indicate that 20% or more of visitors to the site or
page were children ages 2-11 for any month during 2006;14 or
3.
The site or page:
A.
prominently featured child-oriented animated or licensed characters;
B.
prominently featured a celebrity endorser highly popular with children,
according to any of the following sources: a marketing plan; opinion
research data within the company’s possession, custody, or control; or a
The term “advergame” refers to an interactive, electronic game on a companysponsored website that prominently features one or more of the company’s products or brands.
13
A 20% audience share was chosen for children ages 2-11 because this level of
audience share is approximately double the proportion of that group in the population of active
Internet users during 2006. Data from March through December 2006 show that children ages 211 constituted between 8.87 and 9.47% of the active Internet audience. Source: Nielsen/Net
Ratings NetView (Home and Work Panel).
14
B-3
B-14
publicly available opinion poll of children;
(e)
C.
used language, such as “kid,” “child,” “tween,” or similar words, or
prominently depicted models or characters who were or appeared to be
younger than age 12, in order to indicate that the site or page was intended
for children; or
D.
promoted child-oriented themes, activities, incentives, products, or media.
Other Internet advertising (INTERNET AD) means advertising on or through Internet
sites or pages other than company-sponsored Internet sites that bear or otherwise display
the name or logo or any portion of the package of any of the company’s food brands or
otherwise refers or relates to such food brands, including, but not limited to, sponsored
hyperlinks, banner or pop-up advertisements, in-stream and in-page audio and video
advertisements, sponsored text advertising, sponsored search keywords, and advertising
in chat rooms, weblogs, social networking sites, online video games, bulletin boards, and
listservs. Report expenditures on, and activities associated with, other Internet
advertising if any of the following apply:
1.
A marketing plan specifically indicates that the Internet advertising was intended
to reach children under age 12;
2.
The company knowingly sought the participation of children in the Internet
advertising campaign;
3.
The advertising appeared on any Internet website for which audience demographic
data indicate that children ages 2-11 constituted at least 20% of the audience for
any month during 2006; or
4.
The advertising:
A.
prominently featured child-oriented animated or licensed characters;
B.
prominently featured a celebrity endorser highly popular with children,
according to any of the following sources: a marketing plan; opinion
research data within the company’s possession, custody, or control; or a
publicly available opinion poll of children;
C.
used language, such as “kid,” “child,” “tween,” or similar words, or
prominently depicted models or characters who were or appeared to be
younger than age 12, in order to indicate that the advertising was intended
for children; or
B-4
B-15
D.
(f)
(g)
promoted child-oriented themes, activities, incentives, products, or media.
Packaging and labeling (PACK/LABEL) means all product packaging and labeling
(including all words and images therein) for any of the company’s food products. For
purposes of reporting expenditures in this category, include all costs of developing and
producing the product packaging and labeling (excluding any costs of fulfilling labeling
requirements of the Food and Drug Administration). Report expenditures on, and
activities associated with, packaging and labeling if any of the following apply:
1.
A marketing plan specifically indicates that the packaging or labeling was
designed to appeal to children under age 12;
2.
The packaging or labeling:
A.
prominently featured child-oriented animated or licensed characters;
B.
prominently featured a celebrity endorser highly popular with children,
according to any of the following sources: a marketing plan; opinion
research data within the company’s possession, custody, or control; or a
publicly available opinion poll of children;
C.
used language, such as “kid,” “child,” “tween,” or similar words, or
prominently depicted models or characters who were or appeared to be
younger than age 12, in order to indicate that the product was intended for
children; or
D.
promoted child-oriented themes, activities, incentives, products, or media.
Movie theater/video/video game advertising (MOV/VID AD) means advertising
preceding a movie shown in a movie theater or placed on a video (DVD or VHS) or
within a video game (including as a pre-roll, post-roll, or banner advertisement),
excluding product placements. Report expenditures on, and activities associated with,
movie theater/video/video game advertising if any of the following apply:
1.
A marketing plan specifically indicates that such advertising was intended to
reach children under age 12;
2.
The advertising appeared in, during, or contiguous to a motion picture:
A.
distributed in movie theaters, on video (e.g., DVD or VHS), or digitally,
that was rated G by the Motion Picture Association of America; or
B.
for which children ages 2-11 constituted at least 30% of the viewing
B-5
B-16
audience, according to demographic data or other information within the
company’s possession, custody, or control;
3.
4.
(h)
The advertising appeared in, during, or contiguous to a video game:
A.
rated EC or E by the Entertainment Software Rating Board; or
B.
for which children ages 2-11 constituted at least 30% of the users,
according to demographic data or other information within the company’s
possession, custody, or control; or
The advertising:
A.
prominently featured child-oriented animated or licensed characters;
B.
prominently featured a celebrity endorser highly popular with children,
according to any of the following sources: a marketing plan; opinion
research data within the company’s possession, custody, or control; or a
publicly available opinion poll of children;
C.
used language, such as “kid,” “child,” “tween,” or similar words, or
prominently depicted youthful performers or characters, in order to
indicate that the advertising was intended for children; or
D.
promoted child-oriented themes, activities, incentives, products, or media.
Other digital advertising (DIGITAL AD) means advertising and promotional content
transmitted to personal computers and other digital devices, including PDAs (personal
digital assistants), mobile phones, and other portable devices, whether or not Internetenabled, that bears or otherwise displays the name or logo or any portion of the package
of any of the company’s food brands or otherwise refers or relates to such food brands;
this category includes, but is not limited to, expenditures for advertising or promotional
content in electronic mail (email) messages, short message service (SMS or “text”)
messaging, instant messaging (IM), picture messaging, multimedia messaging, mobile
broadcasts, downloads (such as ringtones, wallpapers, and videos), and podcasts. Report
expenditures on, and activities associated with, other digital advertising if any of the
following apply:
1.
A marketing plan specifically indicates that the digital advertising was intended to
reach children under age 12;
2.
The company knowingly sought the participation of children in the digital
advertising campaign;
B-6
B-17
3.
20% or more of the participants in or audience of the digital advertising campaign
were children, according to demographic data or other information within the
company’s possession, custody, or control;
4.
The advertising:
A.
prominently featured child-oriented animated or licensed characters;
B.
prominently featured a celebrity endorser highly popular with children,
according to any of the following sources: a marketing plan; opinion
research data within the company’s possession, custody, or control; or a
publicly available opinion poll of children;
C.
used language, such as “kid,” “child,” “tween,” or similar words, or
prominently depicted models or characters who were or appeared to be
younger than age 12, in order to indicate that the advertising was intended
for children; or
D.
promoted child-oriented themes, activities, incentives, products, or media.
(i)
In-store advertising and promotions (IN-STORE AD) means advertising displays and
promotions at the retail site, including the offering of free samples and allowances paid to
facilitate shelf placement or merchandise displays. Report expenditures on, and activities
associated with, in-store advertising and promotions that, pursuant to a marketing plan or
industry practice, were designed to appeal to children. Such design elements may involve
the height of placement or display, and the use of licensed characters, images of children,
and language, such as “kid,” “child,” or similar words.
(j)
Specialty item or premium distribution (PREMIUMS) means specialty or premium
items other than food products that are distributed in connection with the sale of any of
the company’s food products, whether distributed by sale, by redemption of coupons,
codes, or proofs of purchase, within food packages, in conjunction with restaurant meals,
as prizes in contests or sweepstakes, or otherwise. For purposes of reporting expenditures
in this category, include all net costs (deducting payments by consumers) of the items
distributed to consumers. Report expenditures on, and activities associated with,
specialty item or premium distribution if any of the following apply:
1.
A marketing plan specifically indicates that the specialty item or premium
distribution was intended to reach children under age 12;
2.
The promotion of the specialty or premium item or the item itself:
A.
prominently featured child-oriented animated or licensed characters;
B-7
B-18
3.
(k)
B.
prominently featured a celebrity endorser highly popular with children,
according to any of the following sources: a marketing plan; opinion
research data within the company’s possession, custody, or control; or a
publicly available opinion poll of children;
C.
used language, such as “kid,” “child,” “tween,” or similar words, or
prominently depicted models or characters who were or appeared to be
younger than age 12, in order to indicate that the item was intended for
children; or
D.
promoted child-oriented themes, activities, incentives, products, or media.
The specialty or premium item was a toy, doll, action figure, collectable item,
puzzle, game, or other product for children.
Promotion or sponsorship of public entertainment events (EVENTS) means events,
including but not limited to concerts and sporting events, bearing or otherwise displaying
the name or logo or any portion of the package of any of the company’s food brands or
otherwise referring or relating to such food brands. For purposes of reporting
expenditures in this category, include all costs made by the company in promoting and/or
sponsoring the event, including costs paid for billboards or banners in the name of any of
the company’s food brands or referring or relating to such food brands, and all
expenditures connected with the production, offer, sale, or provision without fee of all
functional promotional items at or in connection with a public entertainment event,
including but not limited to, clothing, hats, bags, posters, sporting or racing goods and
equipment bearing or otherwise displaying the name or logo or any portion of the package
of any of the company’s food brands or otherwise referring or relating to such food
brands. Report expenditures on, and activities associated with, promotion or sponsorship
of public entertainment events if any of the following apply:
1.
A marketing plan specifically indicates that the event or promotion at the event
was intended to reach children under age 12 or that the event would involve the
participation or attendance of children;
2.
The company actively sought the participation or attendance of children;
3.
The event involved child-oriented themes, activities, incentives, products, or
media;
4.
30% or more of the participants in, or audience of, the event were children under
age 12, according to demographic data or other information within the company’s
possession, custody, or control; or
B-8
B-19
5.
The advertising or promotions at the event:
A.
prominently featured child-oriented animated or licensed characters;
B.
prominently featured a celebrity endorser highly popular with children,
according to any of the following sources: a marketing plan; opinion
research data within the company’s possession, custody, or control; or a
publicly available opinion poll of children;
C.
used language, such as “kid,” “child,” “tween,” or similar words, or
prominently depicted models or characters who were or appeared to be
younger than age 12, in order to indicate that the advertising or promotions
were intended for children; or
D.
promoted child-oriented themes, activities, incentives, products, or media.
(l)
Product placements (PROD PLMT) means permitting, promoting, or procuring the
integration of any food product, logo, signage, trade name, or package into a television or
radio program, motion picture, video, music recording, electronic game, or other form of
entertainment programming. Report total expenditures on, and activities associated with,
product placements delivered via all other advertising and promotional activities defined
in this Attachment B.
(m)
Character licensing, toy co-branding, and cross-promotions (CHAR LIC) means
licensing or otherwise obtaining permission to use a character or toy in the advertising or
promotion of a food product, including both licensing agreements for character use in the
company’s advertisements or promotions and cross-promotional arrangements, such as a
marketing partnership with a media company, film studio, theme park, or toy company to
cross-promote each other’s products by marketing (in any context) a food product or food
brand name in conjunction with a character, film, theme park, or toy. Report
expenditures on, and activities associated with obtaining and using, or obtaining and
implementing, the character license, toy co-branding, and cross-promotional arrangement
via all other advertising and promotional activities defined in this Attachment B.
Indicate to what extent, if any, these activities and expenditures are duplicative of
activities and expenditures reported for other advertising and promotional activities
(e.g., television advertising) defined in this Attachment B.
(n)
Sponsorship of sports teams or individual athletes (ATHL SPON) means sponsorship
of or provision of equipment or facilities for a professional or amateur athletic team
(excluding primary and secondary school athletic teams to be reported under category (r),
below) or an individual athlete, including, but not limited to, competitors in football,
basketball, baseball, soccer, hockey, tennis, wrestling, karate, judo, weight lifting,
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volleyball, skiing, skating, snowboarding, skateboarding, surfing, sailing, boating,
equestrian, rodeo, automobile, race car, funny car, motorcycle, bicycle, truck, monster
truck, tractor-pull, fishing, and hunting events, competitions, tournaments, and races.
Report expenditures on, and activities associated with, sponsorships if any of the
following apply:
(o)
1.
A marketing plan specifically indicates that the sponsorship was intended to reach
or designed to appeal to children under age 12;
2.
The sponsored athlete was a child, or members of the sponsored team were
children;
3.
A marketing plan; opinion research data within the company’s possession,
custody, or control; or a publicly available opinion poll of children, indicates that
the sponsored team or athlete is highly popular with children; or
4.
Demographic data or other information within the company’s possession, custody,
or control indicates that 30% or more of the fan base for the sponsored team or
athlete consisted of children under age 12.
Word-of-mouth marketing (WOM MKTG) means providing incentives (financial or
otherwise), product samples, or other support to non-employees (including individuals
and groups) to promote consumption of a food product to other consumers or to
encourage discussion of a food product or brand among consumers. For purposes of
reporting expenditures in this category, include all costs of incentives or samples
provided to non-employees, as well as costs associated with developing and
implementing the word-of-mouth marketing campaign. Report expenditures on, and
activities associated with, word-of-mouth marketing if any of the following apply:
1.
A marketing plan specifically indicates that the word-of-mouth marketing
campaign was intended to reach children under age 12;
2.
The company knowingly sought the participation of children in the word-ofmouth marketing campaign;
3.
The word-of-mouth marketing campaign:
A.
prominently featured child-oriented animated or licensed characters;
B.
prominently featured a celebrity endorser highly popular with children,
according to any of the following sources: a marketing plan; opinion
research data within the company’s possession, custody, or control; or a
publicly available opinion poll of children;
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4.
C.
used language, such as “kid,” “child,” “tween,” or similar words, or
prominently depicted youthful individuals or characters, in order to
indicate that the campaign was intended for children; or
D.
promoted child-oriented themes, activities, incentives, products, or media;
or
20% or more of the participants in the word-of-mouth marketing campaign were
children under age 12, according to demographic data or other information within
the company’s possession, custody, or control.
Indicate to what extent, if any, these activities and expenditures are duplicative of
activities and expenditures reported for other advertising and promotional activities
(e.g., other digital advertising, viral marketing) defined in this Attachment B.
(p)
Viral marketing (VIRAL) means promotional messages intended to encourage
consumers to discuss, or otherwise promote (such as by passing along or sharing the
promotional messages), a food product or brand with other consumers, or to encourage
consumers to interact with company-sponsored content, through the use of various forms
of electronic communication. “Viral” marketing includes, but is not limited to, content
developed for video, audio, or image file-sharing Internet websites that integrates a food
product, logo, signage, trade name, or food package; company-sponsored blogs or social
networking website profiles that discuss a food product or brand (whether or not the
content is attributed to the company); and any other content posted on the Internet about a
food product that is intended to be sent from one consumer to another (such as through a
“send to a friend” email or through a promotional message that attaches to an email sent
through a web-based email program). For purposes of reporting expenditures in this
category, include all costs of developing and distributing the promotional messages.
Report expenditures on, and activities associated with, viral marketing if any of the
following apply:
1.
A marketing plan specifically indicates that the viral marketing campaign was
intended to reach children under age 12;
2.
The company knowingly sought the participation of children in the viral
marketing campaign;
3.
The viral marketing campaign:
A.
prominently featured child-oriented animated or licensed characters;
B.
prominently featured a celebrity endorser highly popular with children,
according to any of the following sources: a marketing plan; opinion
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research data within the company’s possession, custody, or control; or a
publicly available opinion poll of children;
4.
C.
used language, such as “kid,” “child,” “tween,” or similar words, or
prominently depicted youthful individuals or characters, in order to
indicate that the campaign was intended for children; or
D.
promoted child-oriented themes, activities, incentives, products, or media;
or
20% or more of the participants in the viral marketing campaign were children
under age 12, according to demographic data or other information within the
company’s possession, custody, or control.
Indicate to what extent, if any, these activities and expenditures are duplicative of
activities and expenditures reported for other advertising and promotional activities
(e.g., other digital advertising, word of mouth marketing) defined in this
Attachment B.
(q)
Celebrity endorsements (CELEB END) means an advertising or promotional message
(including verbal statements, demonstrations, or depictions of the name, signature,
likeness, or other identifying personal characteristics of an individual or the name or seal
of an organization) relating to the company’s food products, when such message is one
that consumers are likely to believe reflects the opinions, beliefs, findings, or experience
of a public figure (including an entertainer, musician, athlete, or other well-recognized
person). Expenditures in this category include all payments to the celebrity and costs
associated with advertising and promotions featuring the celebrity. Report expenditures
on, and activities associated with, obtaining and using the celebrity endorsement if any of
the following apply:
1.
A marketing plan specifically indicates that the endorser was employed to reach or
appeal to children under age 12;
2.
The celebrity endorser:
A.
was a child;
B.
was highly popular with children, according to any of the following
sources: a marketing plan; opinion research data within the company’s
possession, custody, or control; or a publicly available opinion poll of
children; or
C.
promoted child-oriented themes, activities, incentives, products, or media;
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or
3.
Demographic data or other information within the company’s possession, custody,
or control indicates that 30% or more of the celebrity’s fan base consisted of
children under age 12.
Indicate to what extent, if any, these costs are duplicative of expenditures reported
for other advertising and promotional activities (e.g., television advertising) defined
in this Attachment B.
(r)
In-school marketing (IN-SCHOOL) targeted toward children means advertising or
promotional activity in or around a pre-school or elementary school, including, but not
limited to, the use of trade names, logos, displays, signage, or other branded materials in
or around cafeterias, vending machines, or gymnasiums, at school events, youth athletic
events, athletic fields or arenas, and on school buses, Channel One or other closed circuit
television channels. This category includes payments pursuant to food and beverage
contracts with schools or school systems and philanthropic donations to schools or
particular school clubs, teams, events, or programs, including donations of or discounts
on products, coupons for products, and branded materials such as equipment, classroom
materials, and curricula created by or sponsored by food companies. This category does
not include an advertising or promotional activity that occurred at a pre-school or
elementary school at a time when no children were present or likely would have been
present (e.g., a PTA meeting).
(s)
Advertising in conjunction with philanthropic endeavors (PHLNTHRPY) targeted
toward children means advertising or promotional activity in conjunction with a donation
to an organization, program, or event, other than a school or school-sponsored program or
event, including, but not limited to, the use of trade names, logos, displays, signage, or
other branded materials in connection with child-oriented clubs, parks, activities, or
community programs or events. Report expenditures on, and activities associated with,
advertising and promotional activity for all such philanthropic endeavors if any of the
following apply:
1.
A marketing plan specifically indicates that the organization, program, or event
would reach children under age 12 or would involve the participation or
attendance of children under age 12;
2.
The company actively sought the participation or attendance of children;
3.
The program or event involved child-oriented themes, activities, incentives,
products, or media;
4.
30% or more of the participants in, or attendees or beneficiaries of, the
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organization, program, or event were children under age 12, according to
demographic data or other information within the company’s possession, custody,
or control; or
5.
(t)
The advertising or promotional activity:
A.
prominently featured child-oriented animated or licensed characters;
B.
prominently featured a celebrity endorser highly popular with children,
according to any of the following sources: a marketing plan; opinion
research data within the company’s possession, custody, or control; or a
publicly available opinion poll of children;
C.
used language, such as “kid,” “child,” “tween,” or similar words, or
prominently depicted models or characters who were or appeared to be
younger than age 12, in order to indicate that the advertising or promotions
were intended for children; or
D.
promoted child-oriented themes, activities, incentives, products, or media.
Other promotional activities (OTHER) means any advertising or promotional activities
not covered by another reporting category; describe fully and break down by type. Report
expenditures on, and activities associated with, other promotional activities not reported
in any other category if a marketing plan specifically indicates that such activities were
intended to reach children under age 12.
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Attachment C
Advertising and Promotional Activities Targeted Toward Adolescents
INSTRUCTIONS
Use the following definitions for purposes of reporting the advertising expenditures and
activities requested in Specifications 2.B, 2.C, 3, 4, and 7. The terms provided in parentheses
after each advertising or promotional activity category are the codes used in Attachment E to
designate expenditures in the category. These codes should be used by the company when
preparing its response to Specification 2, following the format set forth in Attachment E. Except
where otherwise noted, the media categories set forth below are mutually exclusive. Do not
report an expenditure in more than one category, unless otherwise directed. Also, limit reported
expenditures to advertising and promotional activities that were conducted in the United States
(including the U.S. territories).
For the advertising and promotional activity categories listed in (a) through (f), below,
report expenditures to the nearest $10,000. For the advertising and promotional activity
categories listed in (g) through (t), below, the company may report expenditures in the following
ranges: $10,000 to $50,000; $50,000 to $100,000; $100,000 to $250,000; and then in increments
of $250,000.
Special Instructions for Reporting Expenditures in Categories (g) through (t) in
Response to Specification 2.B for Certain Food Categories: For any food product identified
in response to Specification 1.D and that also falls within the food categories listed in
Specification 1.C.(1) through (5), (8) or (9), the company need not report expenditures in
response to Specification 2.B for the advertising and promotional activity categories listed in (g)
through (t), if both of the following conditions are met:
(1)
The company had no reportable expenditures for the food product in response to
Specification 2.B for any of the advertising and promotional activity categories
listed in (a) through (f) of this Attachment C; and
(2)
No marketing plan15 for the food product indicates that the company planned or
engaged in any form of advertising or promotional activity for the product during
the calendar year 2006 that was intended to reach an audience that, in whole or in
part, consisted of adolescents ages 12-17.
Special Instructions for Reporting Activities in Categories (g) through (t) in
Response to Specification 4.A or 4.B for Certain Food Categories: For any food product
identified in response to Specification 1.D that also falls within food categories 1.C.(1) through
(5), (8) or (9), the company need not report, in response to Specification 4.A or 4.B, activities for
15
See note 11, supra, for the definition of “marketing plan.”
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the advertising and promotional activity categories listed in (g) through (t) of this Attachment C,
if both of the following conditions are met:
(1)
The company had no reportable activities for the food product in response to
Specification 4.A or 4.B for any of the advertising and promotional activity
categories listed in (a) through (f) of this Attachment C; and
(2)
No marketing plan for the food product indicates that the company planned or
engaged in any form of advertising or promotional activity for the product during
the calendar year 2006 that was intended to reach an audience that, in whole or in
part, consisted of adolescents ages 12-17.
DEFINITIONS
(a)
Television advertising means advertising on broadcast, cable, or satellite television
channels, including during syndicated programming, or branded messages relating to
company sponsorship or underwriting of a television program.
i.
ii.
Report television advertising expenditures, excluding product placements, under
column 7A of Attachment E (TV AD) if any of the following apply:
A.
A marketing plan specifically indicates that the television advertising was
intended to reach adolescents ages 12-17; or
B.
The advertising appeared in, during, or contiguous to any television
program, programming block, or daypart that had a viewing audience
consisting of 20% or more adolescents ages 12-17, as measured on an
annual basis.16
Separately report expenditures under column 7B of Attachment E (TV AD TOP
5) for television advertising (including product placements) that appeared in,
during, or contiguous to any of the following five broadcast television programs,
which constituted the top five broadcast television programs watched by
adolescents ages 12-17 during the 2005-2006 television year, by audience
numbers:17 AMERICAN IDOL, AMERICAN DAD, FAMILY GUY,
UNAN1MOUS, SIMPSONS.
A 20% audience share was chosen for adolescents ages 12-17 because this level of
audience share is approximately double the proportion of that group in the general U.S.
population.
16
17
Source: Nielsen Media Research.
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(b)
(c)
(d)
Radio advertising (RAD AD) means advertising on AM, FM, HD Radio, or satellite
radio channels, excluding product placements. Report radio advertising expenditures if
any of the following apply:
1.
A marketing plan specifically indicates that the radio advertising was intended to
reach adolescents ages 12-17; or
2.
The advertising appeared in, during, or contiguous to any radio program,
programming block, or daypart for which adolescents ages 12-17 constituted at
least 20% of the listening audience, as measured on an annual basis.
Print advertising means advertising placed in magazines, comic books, newspapers
(including advertising placed in free-standing inserts), or other print publications. Report
print advertising expenditures if any of the following apply:
1.
A marketing plan specifically indicates that the print advertising was intended to
reach adolescents ages 12-17; or
2.
The advertising appeared in a publication for which adolescents ages 12-17
constituted at least 20% of the readers and/or subscribers, as measured on an
annual basis.
Company-sponsored Internet sites (WEBSITE AD) means any company-sponsored
Internet site or page that contains information about or images of the company’s food
brands or products, including, but not limited to, advergames,18 and that can be accessed
by computers located in the United States, regardless of where the site is located or the
Internet address of the site or page. Report expenditures on, and activities associated
with, company-sponsored Internet sites if any of the following apply:
1.
A marketing plan specifically indicates that the site or page was intended to reach
adolescents ages 12-17;
2.
Audience demographic data indicate that 20% or more of visitors to the site or
page were adolescents ages 12-17 for any month during 2006;19 or
18
See the definition of “advergame” at note 13, supra.
A 20% audience share was chosen for adolescents ages 12-17 because this level of
audience share is approximately double the proportion of that group in the population of active
Internet users during 2006. Data from March through December 2006 show that adolescents
ages 12-17 constituted between 10.59 and 11.25% of the active Internet audience. Source:
Nielsen/NetRatings NetView (Home and Work Panel).
19
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3.
(e)
The site or page:
A.
prominently featured adolescent-oriented, animated or licensed characters;
B.
prominently featured a celebrity endorser highly popular with adolescents,
according to any of the following sources: a marketing plan; opinion
research data within the company’s possession, custody, or control; or a
publicly available opinion poll of adolescents;
C.
used language, such as “adolescent,” “teen,” “teenager,” or similar words,
or prominently depicted models or characters who were or appeared to be
teen-aged, in order to indicate that the site or page was intended for
adolescents; or
D.
promoted adolescent-oriented themes, activities, incentives, products, or
media.
Other Internet advertising (INTERNET AD) means advertising on or through Internet
sites or pages other than company-sponsored Internet sites that bear or otherwise display
the name or logo or any portion of the package of any of the company’s food brands or
otherwise refers or relates to such food brands, including, but not limited to, sponsored
hyperlinks, banner or pop-up advertisements, in-stream and in-page audio and video
advertisements, sponsored text advertising, sponsored search keywords, and advertising
in chat rooms, weblogs, social networking sites, online video games, bulletin boards, and
listservs. Report expenditures on, and activities associated with, other Internet
advertising if any of the following apply:
1.
A marketing plan specifically indicates that the Internet advertising was intended
to reach adolescents ages 12-17;
2.
The company knowingly sought the participation of adolescents in the Internet
advertising campaign;
3.
The advertising appeared on any Internet website for which audience demographic
data indicate that adolescents ages 12-17 constituted at least 20% of the audience
for any month during 2006; or
4.
The advertising:
A.
prominently featured adolescent-oriented, animated or licensed characters;
B.
prominently featured a celebrity endorser highly popular with adolescents,
according to any of the following sources: a marketing plan; opinion
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research data within the company’s possession, custody, or control; or a
publicly available opinion poll of adolescents;
(f)
(g)
C.
used language, such as “adolescent,” “teen,” “teenager,” or similar words,
or prominently depicted models or characters who were or appeared to be
teen-aged, in order to indicate that the advertising was intended for
adolescents; or
D.
promoted adolescent-oriented themes, activities, incentives, products, or
media.
Packaging and labeling (PACK/LABEL) means all product packaging and labeling
(including all words and images therein) for any of the company’s food products. For
purposes of reporting expenditures in this category, include all costs of developing and
producing the product packaging and labeling (excluding any costs of fulfilling labeling
requirements of the Food and Drug Administration). Report expenditures on, and
activities associated with, packaging and labeling if any of the following apply:
1.
A marketing plan specifically indicates that the packaging or labeling was
designed to appeal to adolescents ages 12-17;
2.
The packaging or labeling:
A.
prominently featured adolescent-oriented, animated or licensed characters;
B.
prominently featured a celebrity endorser highly popular with adolescents,
according to any of the following sources: a marketing plan; opinion
research data within the company’s possession, custody, or control; or a
publicly available opinion poll of adolescents;
C.
used language, such as “adolescent,” “teen,” “teenager,” or similar words,
or prominently depicted models or characters who were or appeared to be
teen-aged, in order to indicate that the product was intended for
adolescents; or
D.
promoted adolescent-oriented themes, activities, incentives, products, or
media.
Movie theater/video/video game advertising (MOV/VID AD) means advertising
preceding a movie shown in a movie theater or placed on a video (DVD or VHS) or
within a video game (including as a pre-roll, post-roll, or banner advertisement),
excluding product placements. Report expenditures on, and activities associated with,
movie theater/video/video game advertising if any of the following apply:
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1.
A marketing plan specifically indicates that such advertising was intended to
reach adolescents ages 12-17;
2.
The advertising appeared in, during, or contiguous to a motion picture:
3.
4.
(h)
A.
distributed in movie theaters, on video (e.g., DVD or VHS), or digitally,
that was rated PG by the Motion Picture Association of America; or
B.
for which adolescents ages 12-17 constituted at least 20% of the viewing
audience, according to demographic data or other information within the
company’s possession, custody, or control;
The advertising appeared in, during, or contiguous to a video game:
A.
rated E or E10+ by the Entertainment Software Rating Board; or
B.
for which adolescents ages 12-17 constituted at least 20% of the users,
according to demographic data or other information within the company’s
possession, custody, or control; or
The advertising:
A.
prominently featured adolescent-oriented, animated or licensed characters;
B.
prominently featured a celebrity endorser highly popular with adolescents,
according to any of the following sources: a marketing plan; opinion
research data within the company’s possession, custody, or control; or a
publicly available opinion poll of adolescents;
C.
used language, such as “adolescent,” “teen,” “teenager,” or similar words,
or prominently depicted youthful performers or characters, in order to
indicate that the advertising was intended for adolescents; or
D.
promoted adolescent-oriented themes, activities, incentives, products, or
media.
Other digital advertising (DIGITAL AD) means advertising and promotional content
transmitted to personal computers and other digital devices, including PDAs (personal
digital assistants), mobile phones, and other portable devices, whether or not Internetenabled, that bears or otherwise displays the name or logo or any portion of the package
of any of the company’s food brands or otherwise refers or relates to such food brands;
this category includes, but is not limited to, expenditures for advertising or promotional
content in electronic mail (email) messages, short message service (SMS or “text”)
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messaging, instant messaging (IM), picture messaging, multimedia messaging, mobile
broadcasts, downloads (such as ringtones, wallpapers, and videos), and podcasts. Report
expenditures on, and activities associated with, other digital advertising if any of the
following apply:
1.
A marketing plan specifically indicates that the digital advertising was intended to
reach adolescents ages 12-17;
2.
The company knowingly sought the participation of adolescents in the digital
advertising campaign;
3.
20% or more of the participants in or audience of the digital advertising campaign
were adolescents, according to demographic data or other information within the
company’s possession, custody, or control;
4.
The advertising:
A.
prominently featured adolescent-oriented, animated or licensed characters;
B.
prominently featured a celebrity endorser highly popular with adolescents,
according to any of the following sources: a marketing plan; opinion
research data within the company’s possession, custody, or control; or a
publicly available opinion poll of adolescents;
C.
used language, such as “adolescent,” “teen,” “teenager,” or similar words,
or prominently depicted models or characters who were or appeared to be
teen-aged, in order to indicate that the advertising was intended for
adolescents; or
D.
promoted adolescent-oriented themes, activities, incentives, products, or
media.
(i)
In-store advertising and promotions (IN-STORE AD) means advertising displays and
promotions at the retail site, including the offering of free samples and allowances paid to
facilitate shelf placement or merchandise displays. Report expenditures on, and activities
associated with, in-store advertising and promotions that, pursuant to a marketing plan or
industry practice, were designed to appeal to adolescents. Such design elements may
involve the height of placement or display, and the use of licensed characters, images of
adolescents, and language, such as “adolescent” “teen,” “teenager,” or similar words.
(j)
Specialty item or premium distribution (PREMIUMS) means specialty or premium
items other than food products that are distributed in connection with the sale of any of
the company’s food products, whether distributed by sale, by redemption of coupons,
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codes, or proofs of purchase, within food packages, in conjunction with restaurant meals,
as prizes in contests or sweepstakes, or otherwise. For purposes of reporting expenditures
in this category, include all net costs (deducting payments by consumers) of the items
distributed to consumers. Report expenditures on, and activities associated with,
specialty item or premium distribution if any of the following apply:
1.
A marketing plan specifically indicates that the specialty item or premium
distribution was intended to reach adolescents ages 12-17;
2.
The promotion of the specialty or premium item or the item itself:
3.
(k)
A.
prominently featured adolescent-oriented, animated or licensed characters;
B.
prominently featured a celebrity endorser highly popular with adolescents,
according to any of the following sources: a marketing plan; opinion
research data within the company’s possession, custody, or control; or a
publicly available opinion poll of adolescents;
C.
used language, such as “adolescent,” “teen,” “teenager,” or similar words,
or prominently depicted models or characters who were or appeared to be
teen-aged, in order to indicate that the item was intended for adolescents;
or
D.
promoted adolescent-oriented themes, activities, incentives, products, or
media.
The specialty or premium item was a toy, doll, action figure, collectable item,
puzzle, game, or other product for adolescents.
Promotion or sponsorship of public entertainment events (EVENTS) means events,
including but not limited to concerts and sporting events, bearing or otherwise displaying
the name or logo or any portion of the package of any of the company’s food brands or
otherwise referring or relating to such food brands. For purposes of reporting
expenditures in this category, include all costs made by the company in promoting and/or
sponsoring the event, including costs paid for billboards or banners in the name of any of
the company’s food brands or referring or relating to such food brands, and all
expenditures connected with the production, offer, sale, or provision without fee of all
functional promotional items at or in connection with a public entertainment event,
including but not limited to, clothing, hats, bags, posters, sporting or racing goods and
equipment bearing or otherwise displaying the name or logo or any portion of the package
of any of the company’s food brands or otherwise referring or relating to such food
brands. Report expenditures on, and activities associated with, promotion or sponsorship
of public entertainment events if any of the following apply:
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1.
A marketing plan specifically indicates that the event or promotion at the event
was intended to reach adolescents ages 12-17 or that the event would involve the
participation or attendance of adolescents;
2.
The company actively sought the participation or attendance of adolescents;
3.
The event involved adolescent-oriented themes, activities, incentives, products, or
media;
4.
20% or more of the participants in, or audience of, the event were adolescents
ages 12-17, according to demographic data or other information within the
company’s possession, custody, or control; or
5.
The advertising or promotions at the event:
A.
prominently featured adolescent-oriented, animated or licensed characters;
B.
prominently featured a celebrity endorser highly popular with adolescents,
according to any of the following sources: a marketing plan; opinion
research data within the company’s possession, custody, or control; or a
publicly available opinion poll of adolescents;
C.
used language, such as “adolescent,” “teen,” “teenager,” or similar words,
or prominently depicted models or characters who were or appeared to be
teen-aged, in order to indicate that the advertising or promotions were
intended for adolescents; or
D.
promoted adolescent-oriented themes, activities, incentives, products, or
media.
(l)
Product placements (PROD PLMT) means permitting, promoting, or procuring the
integration of any food product, logo, signage, trade name, or package into a television or
radio program, motion picture, video, music recording, electronic game, or other form of
entertainment programming. Report total expenditures on, and activities associated with,
product placements delivered via all other advertising and promotional activities defined
in this Attachment C.
(m)
Character licensing, toy co-branding, and cross-promotions (CHAR LIC) means
licensing or otherwise obtaining permission to use a character or toy in the advertising or
promotion of a food product, including both licensing agreements for character use in the
company’s advertisements or promotions and cross-promotional arrangements, such as a
marketing partnership with a media company, film studio, theme park, or toy company to
cross-promote each other’s products by marketing (in any context) a food product or food
C-9
B-34
brand name in conjunction with a character, film, theme park, or toy. Report
expenditures on, and activities associated with obtaining and using, or obtaining and
implementing, the character license, toy co-branding, and cross-promotional arrangement
via all other advertising and promotional activities defined in this Attachment C.
Indicate to what extent, if any, these activities and expenditures are duplicative of
activities and expenditures reported for other advertising and promotional activities
(e.g., television advertising) defined in this Attachment C.
(n)
(o)
Sponsorship of sports teams or individual athletes (ATHL SPON) means sponsorship
of or provision of equipment or facilities for a professional or amateur athletic team
(excluding primary and secondary school athletic teams to be reported under category (r),
below) or an individual athlete, including, but not limited to, competitors in football,
basketball, baseball, soccer, hockey, tennis, wrestling, karate, judo, weight lifting,
volleyball, skiing, skating, snowboarding, skateboarding, surfing, sailing, boating,
equestrian, rodeo, automobile, race car, funny car, motorcycle, bicycle, truck, monster
truck, tractor-pull, fishing, and hunting events, competitions, tournaments, and races.
Report expenditures on, and activities associated with, sponsorships if any of the
following apply:
1.
A marketing plan specifically indicates that the sponsorship was intended to reach
or designed to appeal to adolescents ages 12-17;
2.
The sponsored athlete was an adolescent, or members of the sponsored team were
adolescents;
3.
A marketing plan; opinion research data within the company’s possession,
custody, or control; or a publicly available opinion poll of adolescents, indicates
that the sponsored team or athlete is highly popular with adolescents; or
4.
Demographic data or other information within the company’s possession, custody,
or control indicates that 20% or more of the fan base for the sponsored team or
athlete consisted of adolescents ages 12-17.
Word-of-mouth marketing (WOM MKTG) means providing incentives (financial or
otherwise), product samples, or other support to non-employees (including individuals
and groups) to promote consumption of a food product to other consumers or to
encourage discussion of a food product or brand among consumers. For purposes of
reporting expenditures in this category, include all costs of incentives or samples
provided to non-employees, as well as costs associated with developing and
implementing the word-of-mouth marketing campaign. Report expenditures on, and
activities associated with, word-of-mouth marketing if any of the following apply:
C-10
B-35
1.
A marketing plan specifically indicates that the word-of-mouth marketing
campaign was intended to reach adolescents ages 12-17;
2.
The company knowingly sought the participation of adolescents in the word-ofmouth marketing campaign;
3.
The word-of-mouth marketing campaign:
4.
A.
prominently featured adolescent-oriented, animated or licensed characters;
B.
prominently featured a celebrity endorser highly popular with adolescents,
according to any of the following sources: a marketing plan; opinion
research data within the company’s possession, custody, or control; or a
publicly available opinion poll of adolescents;
C.
used language, such as “adolescent,” “teen,” “teenager,” or similar words,
or prominently depicted youthful individuals or characters, in order to
indicate that the campaign was intended for adolescents; or
D.
promoted adolescent-oriented themes, activities, incentives, products, or
media; or
20% or more of the participants in the word-of-mouth marketing campaign were
adolescents ages 12-17, according to demographic data or other information
within the company’s possession, custody, or control.
Indicate to what extent, if any, these activities and expenditures are duplicative of
activities and expenditures reported for other advertising and promotional activities
(e.g., other digital advertising, viral marketing) defined in this Attachment C.
(p)
Viral marketing (VIRAL) means promotional messages intended to encourage
consumers to discuss, or otherwise promote (such as by passing along or sharing the
promotional messages), a food product or brand with other consumers, or to encourage
consumers to interact with company-sponsored content, through the use of various forms
of electronic communication. “Viral” marketing includes, but is not limited to, content
developed for video, audio, or image file-sharing Internet websites that integrates a food
product, logo, signage, trade name, or food package; company-sponsored blogs or social
networking website profiles that discuss a food product or brand (whether or not the
content is attributed to the company); and any other content posted on the Internet about a
food product that is intended to be sent from one consumer to another (such as through a
“send to a friend” email or through a promotional message that attaches to an email sent
through a web-based email program). For purposes of reporting expenditures in this
category, include all costs of developing and distributing the promotional messages.
C-11
B-36
Report expenditures on, and activities associated with, viral marketing if any of the
following apply:
1.
A marketing plan specifically indicates that the viral marketing campaign was
intended to reach adolescents ages 12-17;
2.
The company knowingly sought the participation of adolescents in the viral
marketing campaign;
3.
The viral marketing campaign:
4.
A.
prominently featured adolescent-oriented, animated or licensed characters;
B.
prominently featured a celebrity endorser highly popular with adolescents,
according to any of the following sources: a marketing plan; opinion
research data within the company’s possession, custody, or control; or a
publicly available opinion poll of adolescents;
C.
used language, such as “adolescent,” “teen,” “teenager,” or similar words,
or prominently depicted youthful individuals or characters, in order to
indicate that the campaign was intended for adolescents; or
D.
promoted adolescent-oriented themes, activities, incentives, products, or
media; or
20% or more of the participants in the viral marketing campaign were adolescents
ages 12-17, according to demographic data or other information within the
company’s possession, custody, or control.
Indicate to what extent, if any, these activities and expenditures are duplicative of
activities and expenditures reported for other advertising and promotional activities
(e.g., other digital advertising, word of mouth marketing) defined in this
Attachment C.
(q)
Celebrity endorsements (CELEB END) means an advertising or promotional message
(including verbal statements, demonstrations, or depictions of the name, signature,
likeness, or other identifying personal characteristics of an individual or the name or seal
of an organization) relating to the company’s food products, when such message is one
that consumers are likely to believe reflects the opinions, beliefs, findings, or experience
of a public figure (including an entertainer, musician, athlete, or other well-recognized
person). Expenditures in this category include all payments to the celebrity and costs
associated with advertising and promotions featuring the celebrity. Report expenditures
on, and activities associated with, obtaining and using the celebrity endorsements if any
C-12
B-37
of the following apply:
1.
A marketing plan specifically indicates that the endorser was employed to reach or
appeal to adolescents ages 12-17;
2.
The celebrity endorser:
3.
A.
was an adolescent;
B.
was highly popular with adolescents, according to any of the following
sources: a marketing plan; opinion research data within the company’s
possession, custody, or control; or a publicly available opinion poll of
adolescents; or
C.
promoted adolescent-oriented themes, activities, incentives, products, or
media; or
Demographic data or other information within the company’s possession, custody,
or control indicates that 20% or more of the celebrity’s fan base consisted of
adolescents ages 12-17.
Indicate to what extent, if any, these costs are duplicative of expenditures reported
for other advertising and promotional activities (e.g., television advertising) defined
in this Attachment C.
(r)
In-school marketing (IN-SCHOOL) targeted toward adolescents means advertising or
promotional activity in or around a middle school, junior high school, or high school,
including, but not limited to, the use of trade names, logos, displays, signage, or other
branded materials in or around cafeterias, vending machines, or gymnasiums, at school
events, youth athletic events, athletic fields or arenas, and on school buses, Channel One
or other closed circuit television channels. This category includes payments pursuant to
food and beverage contracts with schools or school systems and philanthropic donations
to schools or particular school clubs, teams, events, or programs, including donations of
or discounts on products, coupons for products, and branded materials such as equipment,
classroom materials, and curricula created by or sponsored by food companies. This
category does not include an advertising or promotional activity that occurred at a middle
school, junior high school, or high school at a time when no adolescents were present or
likely would have been present (e.g., a PTA meeting).
(s)
Advertising in conjunction with philanthropic endeavors (PHLNTHRPY) targeted
toward adolescents means advertising or promotional activity in conjunction with a
donation to an organization, program, or event, other than a school or school-sponsored
program or event, including, but not limited to, the use of trade names, logos, displays,
C-13
B-38
signage, or other branded materials in connection with adolescent-oriented clubs, parks,
activities, or community programs or events. Report expenditures on, and activities
associated with, advertising and promotional activity for all such philanthropic endeavors
if any of the following apply:
(t)
1.
A marketing plan specifically indicates that the organization, program, or event
would reach adolescents ages 12-17 or would involve the participation or
attendance of adolescents ages 12-17;
2.
The company actively sought the participation or attendance of adolescents;
3.
The program or event involved adolescent-oriented themes, activities, incentives,
products, or media;
4.
20% or more of the participants in, or attendees or beneficiaries of, the
organization, program, or event were adolescents ages 12-17, according to
demographic data or other information within the company’s possession, custody,
or control; or
5.
The advertising or promotional activity:
A.
prominently featured adolescent-oriented, animated or licensed characters;
B.
prominently featured a celebrity endorser highly popular with adolescents,
according to any of the following sources: a marketing plan; opinion
research data within the company’s possession, custody, or control; or a
publicly available opinion poll of adolescents;
C.
used language, such as “adolescent,” “teen,” “teenager,” or similar words,
or prominently depicted models or characters who were or appeared to be
teen-aged, in order to indicate that the advertising or promotions were
intended for adolescents; or
D.
promoted adolescent-oriented themes, activities, incentives, products, or
media.
Other promotional activities (OTHER) means any advertising or promotional activities
not covered by another reporting category; describe fully and break down by type. Report
expenditures on, and activities associated with, other promotional activities not reported
in any other category if a marketing plan specifically indicates that such activities were
targeted to adolescents ages 12-17.
C-14
B-39
Attachment D
Advertising and Promotional Activities for All Audiences
INSTRUCTIONS
Use the following definitions for purposes of reporting the advertising expenditures and
activities requested in Specification 2.D. The terms provided in parentheses after each
advertising or promotional activity category are the codes used in Attachment E to designate
expenditures in the category. These codes should be used by the company when preparing its
response to Specification 2, following the format set forth in Attachment E. Except where
otherwise noted, the media categories set forth below are mutually exclusive. Do not report an
expenditure in more than one category, unless otherwise directed. Also, limit reported
expenditures to advertising and promotional activities that were conducted in the United States
(including the U.S. territories).
For the advertising and promotional activity categories listed in (a) through (f), below,
report expenditures to the nearest $10,000. For the advertising and promotional activity
categories listed in (g) through (t), below, the company may report expenditures in the following
ranges: $10,000 to $50,000; $50,000 to $100,000; $100,000 to $250,000; and then in increments
of $250,000.
Special Instructions for Reporting Expenditures in Categories (g) through (t) in
Response to Specification 2.D for Certain Food Categories: For any food product identified
in response to Specification 1.D and that also falls within the food categories listed in
Specification 1.C.(1) through (5), (8) or (9), the company need not report expenditures in
response to Specification 2.D for the advertising and promotional activity categories listed in (g)
through (t) of this Attachment D, if both of the following conditions are met:
(1)
The company had no reportable expenditures for the food product in response to
either Specification 2.A or 2.B for any of the advertising and promotional activity
categories listed in (a) through (f) of Attachments B or C; and
(2)
No marketing plan20 for the food product indicates that the company planned or
engaged in any form of advertising or promotional activity for the product during
the calendar year 2006 that was intended to reach an audience that, in whole or in
part, consisted of children ages 2-11 or adolescents ages 12-17.
DEFINITIONS
(a)
Television advertising (TV AD) means advertising on broadcast, cable, or satellite
television channels, including during syndicated programming, or branded messages
20
See note 11, supra, for the definition of “marketing plan.”
D-1
B-40
relating to company sponsorship or underwriting of a television program, excluding
product placements.
(b)
Radio advertising (RAD AD) means advertising on AM, FM, HD Radio, or satellite
radio channels, excluding product placements.
(c)
Print advertising (PRT AD) means advertising placed in magazines, comic books,
newspapers (including advertising placed in free-standing inserts), or other print
publications.
(d)
Company-sponsored Internet sites (WEBSITE AD) means any company-sponsored
Internet site or page that contains information about or images of the company’s food
brands or products, including, but not limited to, advergames,21 and that can be accessed
by computers located in the United States, regardless of where the site is located or the
Internet address of the site or page.
(e)
Other Internet advertising (INTERNET AD) means advertising on or through Internet
sites or pages other than company-sponsored Internet sites that bear or otherwise display
the name or logo or any portion of the package of any of the company’s food brands or
otherwise refers or relates to such food brands, including, but not limited to, sponsored
hyperlinks, banner or pop-up advertisements, in-stream and in-page audio and video
advertisements, sponsored text advertising, sponsored search keywords, and advertising
in chat rooms, weblogs, social networking sites, online video games, bulletin boards, and
listservs.
(f)
Packaging and labeling (PACK/LABEL) means all product packaging and labeling
(including all words and images therein) for any of the company’s food products. For
purposes of reporting expenditures in this category, include all costs of developing and
producing the product packaging and labeling (excluding any costs of fulfilling labeling
requirements of the Food and Drug Administration).
(g)
Movie theater/video/video game advertising (MOV/VID AD) means advertising
preceding a movie shown in a movie theater or placed on a video (DVD or VHS) or
within a video game (including as a pre-roll, post-roll, or banner advertisement),
excluding product placements.
(h)
Other digital advertising (DIGITAL AD) means advertising and promotional content
transmitted to personal computers and other digital devices, including PDAs (personal
digital assistants), mobile phones, and other portable devices, whether or not Internetenabled, that bears or otherwise displays the name or logo or any portion of the package
of any of the company’s food brands or otherwise refers or relates to such food brands;
21
See the definition of “advergame” at note 13, supra.
D-2
B-41
this category includes, but is not limited to, expenditures for advertising or promotional
content in electronic mail (email) messages, short message service (SMS or “text”)
messaging, instant messaging (IM), picture messaging, multimedia messaging, mobile
broadcasts, downloads (such as ringtones, wallpapers, and videos), and podcasts.
(i)
In-store advertising and promotions (IN-STORE AD) means advertising displays and
promotions at the retail site, including the offering of free samples and allowances paid to
facilitate shelf placement or merchandise displays.
(j)
Specialty item or premium distribution (PREMIUMS) means specialty or premium
items other than food products that are distributed in connection with the sale of any of
the company’s food products, whether distributed by sale, by redemption of coupons,
codes, or proofs of purchase, within food packages, in conjunction with restaurant meals,
as prizes in contests or sweepstakes, or otherwise. For purposes of reporting expenditures
in this category, include all net costs (deducting payments by consumers) of the items
distributed to consumers.
(k)
Promotion or sponsorship of public entertainment events (EVENTS) means events,
including but not limited to concerts and sporting events, bearing or otherwise displaying
the name or logo or any portion of the package of any of the company’s food brands or
otherwise referring or relating to such food brands. For purposes of reporting
expenditures in this category, include all costs made by the company in promoting and/or
sponsoring the event, including costs paid for billboards or banners in the name of any of
the company’s food brands or referring or relating to such food brands, and all
expenditures connected with the production, offer, sale, or provision without fee of all
functional promotional items at or in connection with a public entertainment event,
including but not limited to, clothing, hats, bags, posters, sporting or racing goods and
equipment bearing or otherwise displaying the name or logo or any portion of the package
of any of the company’s food brands or otherwise referring or relating to such food
brands.
(l)
Product placements (PROD PLMT) means permitting, promoting, or procuring the
integration of any food product, logo, signage, trade name, or package into a television or
radio program, motion picture, video, music recording, electronic game, or other form of
entertainment programming. Report total expenditures on, and activities associated with,
product placements delivered via all other advertising and promotional activities defined
in this Attachment D.
(m)
Character licensing, toy co-branding, and cross-promotions (CHAR LIC) means
licensing or otherwise obtaining permission to use a character or toy in the advertising or
promotion of a food product, including both licensing agreements for character use in the
company’s advertisements or promotions and cross-promotional arrangements, such as a
marketing partnership with a media company, film studio, theme park, or toy company to
D-3
B-42
cross-promote each other’s products by marketing (in any context) a food product or food
brand name in conjunction with a character, film, theme park, or toy. Report
expenditures on, and activities associated with obtaining and using, or obtaining and
implementing, the character license, toy co-branding, and cross-promotional arrangement
via all other advertising and promotional activities defined in this Attachment D.
Indicate to what extent, if any, these activities and expenditures are duplicative of
activities and expenditures reported for other advertising and promotional activities
(e.g., television advertising) defined in this Attachment D.
(n)
Sponsorship of sports teams or individual athletes (ATHL SPON) means sponsorship
of or provision of equipment or facilities for a professional or amateur athletic team
(excluding primary and secondary school athletic teams to be reported under category (r),
below) or an individual athlete, including, but not limited to, competitors in football,
basketball, baseball, soccer, hockey, tennis, wrestling, karate, judo, weight lifting,
volleyball, skiing, skating, snowboarding, skateboarding, surfing, sailing, boating,
equestrian, rodeo, automobile, race car, funny car, motorcycle, bicycle, truck, monster
truck, tractor-pull, fishing, and hunting events, competitions, tournaments, and races.
(o)
Word-of-mouth marketing (WOM MKTG) means providing incentives (financial or
otherwise), product samples, or other support to non-employees (including individuals
and groups) to promote consumption of a food product to other consumers or to
encourage discussion of a food product or brand among consumers. For purposes of
reporting expenditures in this category, include all costs of incentives or samples
provided to non-employees, as well as costs associated with developing and
implementing the word-of-mouth marketing campaign.
Indicate to what extent, if any, these activities and expenditures are duplicative of
activities and expenditures reported for other advertising and promotional activities
(e.g., other digital advertising, viral marketing) defined in this Attachment D.
(p)
Viral marketing (VIRAL) means promotional messages intended to encourage
consumers to discuss, or otherwise promote (such as by passing along or sharing the
promotional messages), a food product or brand with other consumers, or to encourage
consumers to interact with company-sponsored content, through the use of various forms
of electronic communication. “Viral” marketing includes, but is not limited to, content
developed for video, audio, or image file-sharing Internet websites that integrates a food
product, logo, signage, trade name, or food package; company-sponsored blogs or social
networking website profiles that discuss a food product or brand (whether or not the
content is attributed to the company); and any other content posted on the Internet about a
food product that is intended to be sent from one consumer to another (such as through a
“send to a friend” email or through a promotional message that attaches to an email sent
through a web-based email program). For purposes of reporting expenditures in this
D-4
B-43
category, include all costs of developing and distributing the promotional messages.
Indicate to what extent, if any, these activities and expenditures are duplicative of
activities and expenditures reported for other advertising and promotional activities
(e.g., other digital advertising, word of mouth marketing) defined in this
Attachment D.
(q)
Celebrity endorsements (CELEB END) means an advertising or promotional message
(including verbal statements, demonstrations, or depictions of the name, signature,
likeness, or other identifying personal characteristics of an individual or the name or seal
of an organization) relating to the company’s food products, when such message is one
that consumers are likely to believe reflects the opinions, beliefs, findings, or experience
of a public figure (including an entertainer, musician, athlete, or other well-recognized
person). Expenditures in this category include all payments to the celebrity and costs
associated with advertising and promotions featuring the celebrity.
Indicate to what extent, if any, these costs are duplicative of expenditures reported
for other advertising and promotional activities (e.g., television advertising) defined
in this Attachment D.
(r)
In-school marketing (IN-SCHOOL) means advertising or promotional activity in or
around an educational institution, such as a pre-school, elementary school, middle school,
junior high school, high school, trade school, junior college, community college, fouryear college, or university. It includes, but is not limited to, the use of trade names, logos,
displays, signage, or other branded materials in or around cafeterias, vending machines,
or gymnasiums, at school events, athletic events, athletic fields or arenas, and on school
buses, Channel One or other closed circuit television channels; this category includes
payments pursuant to food and beverage contracts with schools or school systems and
philanthropic donations to schools or particular school clubs, teams, events, or programs,
including donations of or discounts on products, coupons for products, and branded
materials such as equipment, classroom materials, and curricula created by or sponsored
by food companies.
(s)
Advertising in conjunction with philanthropic endeavors (PHLNTHRPY) means
advertising or promotional activity in conjunction with a donation to an organization,
program, or event, other than a school or school-sponsored program or event, including,
but not limited to, the use of trade names, logos, displays, signage, or other branded
materials in connection with clubs, parks, activities, or community programs or events.
(t)
Other promotional activities (OTHER) means any advertising or promotional activities
not covered by another reporting category defined in this Attachment D; describe fully
and break down by type.
D-5
B-44
B-45
B-46
B-47
B-48
B-49
B-50
B-51
B-52
B-53
Appendix C
Supporting Data and Tables
C-1
32,950
41,566
36,798
16,105
Candy/Froz. Desserts
Prepared Foods & Meals
Baked Goods
Dairy Products
24,402
25,273
69,234
12,012
21,288
4,923
Juice & Non-carbonated Bevs.
Snack Foods
Candy/Froz. Desserts
Prepared Foods & Meals
Baked Goods
Dairy Products
(continued)
TOTAL
375,903
860
14,135
Fruits & Vegetables
104,947
Breakfast Cereal
98,829
TV
457,504
Restaurant Foods
Carbonated Beverages
Food Category
Teen 12-17
TOTAL
860
69,304
Snack Foods
Fruits & Vegetables
24,368
142,257
Breakfast Cereal
Juice & Non-carbonated Bevs.
91,448
1,848
TV
Restaurant Foods
Carbonated Beverages
Food Category
Child 2-11
77,724
358
179
270
0
1,573
290
3,586
672
29,738
41,060
Radio
4,406
63
179
270
0
69
0
2,533
672
621
0
Radio
All figures are in thousands of dollars.
21,782
70
11,386
1,727
300
2,954
310
1,402
107
1,017
2,510
Print
12,760
20
2,017
1,574
300
4,010
650
728
1,217
1,668
576
Print
24,452
133
1,767
1,509
732
4,498
3,870
1,637
4,254
180
5,873
Web
18,117
370
599
1,493
1,212
2,274
3,852
153
6,720
1,171
272
Web
30,666
0
2,032
2,725
114
2,275
4,229
1,707
4,923
521
12,139
Internet
20,630
0
1,348
2,983
1,204
877
5,106
280
7,493
1,340
0
Internet
38,441
1,089
2,722
2,712
1,479
2,245
6,514
4,678
5,338
0
11,664
Pack/
Label
58,422
2,231
3,122
6,652
2,645
3,201
11,265
5,677
9,887
4,489
9,254
Pack/
Label
481
0
0
360
0
112
0
0
0
0
9
47,552
1,017
185
1,172
845
8,454
6,982
4,570
4,455
17,490
2,380
57,487
450
1,572
2,760
3,971
549
4,099
1,149
39,846
2,439
651
4,979
0
45
0
0
3,082
214
0
700
908
30
1,060
0
54
360
0
112
100
0
0
0
434
94,687
710
796
444
585
6,066
1,850
4,604
1,464
280
77,887
40,553
806
1,843
2,292
585
1,364
2,817
1,332
25,220
344
3,950
Movie/
Digital In-Store Premiums
Video
5,610
0
13
0
2,420
926
480
388
775
578
30
Movie/
Digital In-Store Premiums
Video
90,809
370
4,133
4,740
945
3,907
977
7,803
1,286
1,700
64,949
Events
30,273
209
2,503
4,753
1,065
3,901
613
6,091
1,336
7,465
2,337
Events
5,122
0
0
62
0
0
24
460
0
28
4,548
Product
Placement
710
0
0
70
0
0
0
0
40
0
600
Product
Placement
19,395
40
1,529
1,478
1,081
250
2,766
248
11,349
410
244
CrossPromotion
Licenses
44,912
1,582
1,504
2,218
3,015
3,040
8,721
733
12,402
11,517
180
CrossPromotion
Licenses
30,030
70
0
0
0
0
170
5,020
1,800
4,517
18,453
Athletic
Sponsorship
9,782
70
0
0
0
0
417
3,973
1,800
847
2,675
Athletic
Sponsorship
Table C.1: Reported Marketing Expenditures By Promotional Activity, Food Category, and Age Criteria
4,485
0
1,300
0
0
0
140
811
0
147
2,088
Viral/
WOM
488
0
0
0
0
0
0
22
0
392
74
Viral/
WOM
6,490
220
275
0
0
1,331
895
0
0
69
3,700
Celebrity
Fees
893
220
0
0
0
311
0
0
0
362
0
Celebrity
Fees
151,808
0
4,785
8
98
0
330
45,281
10
0
101,296
In-School
72,737
1
423
12
1,578
0
383
15,392
10
9,334
45,604
In-School
7,584
1,235
0
33
0
108
115
2,488
0
202
3,403
Philanthropy
14,202
1,043
0
33
0
33
105
1,970
0
10,166
852
Philanthropy
25,577
275
540
0
0
0
470
3,147
8
0
21,137
Other
13,363
275
0
0
0
0
630
2,404
73
151
9,830
Other
1,051,546
6,236
38,307
39,649
17,931
98,998
51,354
108,606
71,266
145,008
474,192
Total Reported
Teen 12-17
Marketing
870,329
8,410
29,572
61,147
59,821
60,708
112,607
70,432
228,983
161,479
77,171
Total Reported
Child 2-11
Marketing
C-2
45,032
37,029
19,839
Prepared Foods & Meals
Baked Goods
Dairy Products
202,708
Prepared Foods & Meals
672
6,266
210
30,207
2,914
11,688
7,245
13,388
13,492
3,614,959 303,938 173,821
1,791
179
270
980
3,238
9,839
15,086
68,301
20,109
Print
27,773
70
11,386
1,904
540
4,732
960
2,130
1,217
2,324
2,510
Print
0
2,982
3,055
2,394
3,914
7,165
7,901
8,892
26,558
45,666
Internet
39,092
0
2,302
3,045
1,204
2,335
6,745
1,967
7,493
1,861
12,139
Internet
4,264
3,475
36,122
4,779
6,961
30,629
10,662
13,564
9,777
19,651
Pack/
Label
64,823
2,450
3,184
6,972
2,679
3,619
13,077
6,666
9,989
4,489
11,697
Pack/
Label
66,044 108,528 139,884
934
2,284
1,594
1,422
9,631
7,903
3,110
6,727
6,854
25,585
Web
31,745
493
1,815
1,519
1,422
5,017
5,872
1,654
6,725
1,351
5,879
Web
1,407
891
1,562
1,220
8,968
8,662
6,457
4,529
17,570
79,342
1,060 130,609
0
54
360
0
112
100
0
0
0
434
66,933
1,206
1,843
2,791
4,000
1,682
6,204
1,754
40,623
2,439
4,391
12,114
0
248
0
2,550
3,659
2,620
872
775
1,220
170
8,470
80,445
8,806
1,250
8,403
4,050
31,892
56,529
1,858 539,017
0
61
360
0
112
100
0 105,750
0
0
1,225 233,422
809
10,013
4,782
1,075
8,662
2,782
14,932
1,336
24,692
79,703
Events
99,013
429
4,173
4,753
1,065
4,302
1,411
8,266
1,336
8,295
64,984
Events
152,931 148,787
1,316
2,438
3,061
4,000
2,851
11,790
4,259
42,954
35,499
44,763
Movie/
Digital In-Store Premiums
Video
8,355
0
58
0
2,420
3,082
694
388
775
908
30
Movie/
Digital In-Store Premiums
Video
8,931
0
0
96
0
0
155
1,696
40
123
6,821
Product
Placement
5,172
0
0
72
0
0
24
460
40
28
4,548
Product
Placement
49,240
1,582
1,529
2,218
3,028
3,040
9,301
1,323
12,482
13,236
1,501
CrossPromotion
Licenses
46,307
1,582
1,529
2,218
3,026
3,040
9,301
858
12,482
11,927
344
CrossPromotion
Licenses
255,490
70
1
0
0
0
5,476
100,591
1,800
75,036
72,515
Athletic
Sponsorship
30,606
70
0
0
0
0
467
5,083
1,800
4,652
18,534
Athletic
Sponsorship
13,912
0
1,300
0
0
0
140
3,176
0
3,396
5,901
Viral/
WOM
4,733
0
1,300
0
0
0
140
814
0
392
2,088
Viral/
WOM
19,237
405
425
0
0
1,331
895
0
0
1,818
14,363
Celebrity
Fees
7,008
405
275
0
0
1,331
895
0
0
402
3,700
Celebrity
Fees
276,892
1
5,116
22
1,755
0
591
89,149
20
10,659
169,579
In-School
185,511
1
5,108
20
1,675
0
399
52,955
20
9,334
115,998
In-School
275
2,465
0
0
0
1,240
17,161
348
15,307
77,435
Other
25,961
275
540
0
0
0
630
3,147
81
151
21,137
Other
27,971 114,230
1,918
0
889
0
2,658
761
3,125
0
11,435
7,185
Philanthropy
18,744
1,788
0
33
0
108
115
2,663
0
10,358
3,679
Philanthropy
6,027,783
26,861
160,955
106,219
240,429
335,243
520,600
765,743
485,154
1,898,304
1,488,274
All Ages
Reported
Marketing
1,618,600
11,463
54,475
62,549
64,283
117,694
138,713
146,731
236,553
293,645
492,495
Total Reported
Youth 2-17
Marketing
Note: * Companies were required to report spending for “All Ages” in a particular promotional activity only when they had child- or teen-directed marketing in that activity for the brand. Thus, the “All Ages” data reported here do not include any spending for a brand in
promotional activities that did not have child- or teen-directed marketing for the brand. Separately, companies were required to report total marketing for each brand. Food category totals based on “Total Marketing” expenditure data are reported in Table II.1 and give a
more complete picture of total spending to all ages, resulting in “Total Marketing” expenditures to all ages of $9.6 billion, compared to the $6.0 billion reported in this table.
TOTAL
4,480
96,984
250,048
Candy/Froz. Desserts
Dairy Products
359,295
Snack Foods
42,433
373,458
Baked Goods
380,808
Juice & Non-carbonated Bevs.
Fruits & Vegetables
68,664
Radio
80,376
408
179
270
0
1,641
290
6,119
672
29,738
41,060
Radio
1,310,730 203,219
594,015
TV
744,780
Breakfast Cereal
Restaurant Foods
Carbonated Beverages
Food Category
All Ages*
TOTAL
880
77,723
Candy/Froz. Desserts
Fruits & Vegetables
82,728
Snack Foods
148,771
Breakfast Cereal
45,351
187,426
Restaurant Foods
Juice & Non-carbonated Bevs.
100,001
TV
Carbonated Beverages
Food Category
Youth 2-17
Table C.1: Reported Marketing Expenditures By Promotional Activity, Food Category, and Age Criteria (continued)
C-3
34.6
61.6
54.3
69.5
60.2
54.5
10.2
52.6
Juice & Non-carbonated Bevs.
Snack Foods
Candy/Froz. Desserts
Prepared Foods & Meals
Baked Goods
Dairy Products
Fruits & Vegetables
TOTAL
72.4
19.8
22.5
49.2
69.9
67.0
53.7
12.9
13.8
35.8
Restaurant Foods
Breakfast Cereal
Juice & Non-carbonated Bevs.
Snack Foods
Candy/Froz. Desserts
Prepared Foods & Meals
Baked Goods
Dairy Products
Fruits & Vegetables
TOTAL
(continued)
20.8
Carbonated Beverages
Food Category
TV
62.1
Breakfast Cereal
Teen 12-17
56.6
2.4
TV
Restaurant Foods
Carbonated Beverages
Food Category
Child 2-11
7.4
5.7
0.5
0.7
0.0
1.6
0.6
3.3
0.9
20.5
8.7
Radio
0.5
0.7
0.6
0.4
0.0
0.1
0.0
3.6
0.3
0.4
0.0
Radio
2.1
1.1
29.7
4.4
1.7
3.0
0.6
1.3
0.2
0.7
0.5
Print
1.5
0.2
6.8
2.6
0.5
6.6
0.6
1.0
0.5
1.0
0.8
Print
2.3
2.1
4.6
3.8
4.1
4.5
7.5
1.5
6.0
0.1
1.2
Web
2.1
4.4
2.0
2.4
2.0
3.8
3.4
0.2
2.9
0.7
0.4
Web
2.9
0.0
5.3
6.9
0.6
2.3
8.2
1.6
6.9
0.4
2.6
Internet
2.4
0.0
4.6
4.9
2.0
1.4
4.5
0.4
3.3
0.8
0.0
Internet
3.7
17.5
7.1
6.8
8.3
2.3
12.7
4.3
7.5
0.0
2.5
Pack/
Label
6.7
26.5
10.6
10.9
4.4
5.3
10.0
8.1
4.3
2.8
12.0
Pack/
Label
0.5
0.0
0.1
0.0
0.0
3.1
0.4
0.0
1.0
0.6
0.0
Movie/
Video
0.6
0.0
0.0
0.0
4.1
1.5
0.4
0.6
0.3
0.4
0.0
Movie/
Video
5.5
12.1
0.6
1.9
1.4
13.9
6.2
6.5
2.0
10.8
3.1
6.6
5.4
5.3
4.5
6.6
0.9
3.6
1.6
17.4
1.5
0.8
0.1
0.0
0.1
0.9
0.0
0.1
0.2
0.0
0.0
0.0
0.1
9.0
11.4
2.1
1.1
3.3
6.1
3.6
4.2
2.1
0.2
16.4
3.9
12.9
4.8
5.8
3.3
1.4
5.5
1.2
35.4
0.2
0.8
Digital In-Store Premiums
0.1
0.0
0.0
0.6
0.0
0.2
0.0
0.0
0.0
0.0
0.0
Digital In-Store Premiums
8.6
5.9
10.8
12.0
5.3
4.0
1.9
7.2
1.8
1.2
13.7
Events
3.5
2.5
8.5
7.8
1.8
6.4
0.5
8.7
0.6
4.6
3.0
Events
0.5
0.0
0.0
0.2
0.0
0.0
0.1
0.4
0.0
0.0
1.0
Product
Placement
0.1
0.0
0.0
0.1
0.0
0.0
0.0
0.0
0.0
0.0
0.8
Product
Placement
1.8
0.6
4.0
3.7
6.0
0.3
5.4
0.2
15.9
0.3
0.1
CrossPromotion
Licenses
5.2
18.8
5.1
3.6
5.0
5.0
7.7
1.0
5.4
7.1
0.2
CrossPromotion
Licenses
2.9
1.1
0.0
0.0
0.0
0.0
0.3
4.6
2.5
3.1
3.9
Athletic
Sponsorship
1.1
0.8
0.0
0.0
0.0
0.0
0.4
5.6
0.8
0.5
3.5
Athletic
Sponsorship
0.4
0.0
3.4
0.0
0.0
0.0
0.3
0.8
0.0
0.1
0.4
Viral/
WOM
0.1
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.0
0.2
0.1
Viral/
WOM
0.6
3.5
0.7
0.0
0.0
1.3
1.7
0.0
0.0
0.1
0.8
Celebrity
Fees
0.1
2.6
0.0
0.0
0.0
0.5
0.0
0.0
0.0
0.2
0.0
Celebrity
Fees
14.4
0.0
12.5
0.0
0.5
0.0
0.6
41.7
0.0
0.0
21.4
In-School
8.4
0.0
1.4
0.0
2.6
0.0
0.3
21.9
0.0
5.8
59.1
In-School
Table C.2: Percent of Reported Marketing Expenditures for Each Food Category, By Promotional Activity, and Age Criteria
0.7
19.8
0.0
0.1
0.0
0.1
0.2
2.3
0.0
0.1
0.7
Philanthropy
1.6
12.4
0.0
0.1
0.0
0.1
0.1
2.8
0.0
6.3
1.1
Philanthropy
2.4
4.4
1.4
0.0
0.0
0.0
0.9
2.9
0.0
0.0
4.5
Other
1.5
3.3
0.0
0.0
0.0
0.0
0.6
3.4
0.0
0.1
12.7
Other
1,051,546
6,236
38,307
39,649
17,931
98,998
51,354
108,606
71,266
145,008
474,192
100% of
Reported Teen
12-17 Marketing
($1000)
870,329
8,410
29,572
61,147
59,821
60,708
112,607
70,432
228,983
161,479
77,171
100% of
Reported Child
2-11 Marketing
($1000)
C-4
62.9
30.9
59.6
66.0
70.1
59.2
36.4
Breakfast Cereal
Juice & Non-carbonated Bevs.
Snack Foods
Candy/Froz. Desserts
Prepared Foods & Meals
Baked Goods
Dairy Products
69.1
78.5
48.8
69.0
74.6
84.3
40.0
60.3
16.7
60.0
Restaurant Foods
Breakfast Cereal
Juice & Non-carbonated Bevs.
Snack Foods
Candy/Froz. Desserts
Prepared Foods & Meals
Baked Goods
Dairy Products
Fruits & Vegetables
TOTAL
5.0
6.7
0.1
0.3
0.4
1.0
1.9
2.0
0.1
10.7
4.6
Radio
5.0
3.6
0.3
0.4
0.0
1.4
0.2
4.2
0.3
10.1
8.3
Radio
2.9
0.8
18.8
2.7
4.9
2.2
2.6
1.8
1.3
3.6
1.4
Print
1.7
0.6
20.9
3.0
0.8
4.0
0.7
1.5
0.5
0.8
0.5
Print
1.1
3.5
1.4
1.5
0.6
2.9
1.5
0.4
1.4
0.4
1.7
Web
2.0
4.3
3.3
2.4
2.2
4.3
4.2
1.1
2.8
0.5
1.2
Web
1.8
0.0
1.9
2.9
1.0
1.2
1.4
1.0
1.8
1.4
3.1
Internet
2.4
0.0
4.2
4.9
1.9
2.0
4.9
1.3
3.2
0.6
2.5
Internet
2.3
15.9
2.2
34.0
2.0
2.1
5.9
1.4
2.8
0.5
1.3
Pack/
Label
4.0
21.4
5.9
11.2
4.2
3.1
9.4
4.5
4.2
1.5
2.4
Pack/
Label
0.2
0.0
0.2
0.0
1.1
1.1
0.5
0.1
0.2
0.1
0.0
Movie/
Video
0.5
0.0
0.1
0.0
3.8
2.6
0.5
0.3
0.3
0.3
0.0
Movie/
Video
8.1
12.3
1.6
2.5
1.9
7.6
6.2
4.4
1.9
6.0
16.1
4.1
10.5
3.4
4.5
6.2
1.4
4.5
1.2
17.2
0.8
0.9
0.0
0.0
0.0
0.3
0.0
0.0
0.0
0.0
0.0
0.0
0.1
8.9
32.8
0.8
7.9
1.7
9.5
10.9
13.8
1.8
4.2
15.7
2.5
4.9
1.5
2.9
1.7
0.9
2.3
0.6
8.9
1.9
3.0
Digital In-Store Premiums
0.1
0.0
0.1
0.6
0.0
0.1
0.1
0.0
0.0
0.0
0.1
Digital In-Store Premiums
2.5
3.0
6.2
4.5
0.5
2.6
0.5
2.0
0.3
1.3
5.4
Events
6.1
3.7
7.7
7.6
1.7
3.7
1.0
5.6
0.6
2.8
13.2
Events
0.2
0.0
0.0
0.1
0.0
0.0
0.0
0.2
0.0
0.0
0.5
Product
Placement
0.3
0.0
0.0
0.1
0.0
0.0
0.0
0.3
0.0
0.0
0.9
Product
Placement
0.8
5.9
1.0
2.1
1.3
0.9
1.8
0.2
2.6
0.7
0.1
CrossPromotion
Licenses
2.9
13.8
2.8
3.6
4.7
2.6
6.7
0.6
5.3
4.1
0.1
CrossPromotion
Licenses
4.2
0.3
0.0
0.0
0.0
0.0
1.1
13.1
0.4
4.0
4.9
Athletic
Sponsorship
1.9
0.6
0.0
0.0
0.0
0.0
0.3
3.5
0.8
1.6
3.8
Athletic
Sponsorship
0.2
0.0
0.8
0.0
0.0
0.0
0.0
0.4
0.0
0.2
0.4
Viral/
WOM
0.3
0.0
2.4
0.0
0.0
0.0
0.1
0.6
0.0
0.1
0.4
Viral/
WOM
0.3
1.5
0.3
0.0
0.0
0.4
0.2
0.0
0.0
0.1
1.0
Celebrity
Fees
0.4
3.5
0.5
0.0
0.0
1.1
0.7
0.0
0.0
0.1
0.8
Celebrity
Fees
4.6
0.0
3.2
0.0
0.7
0.0
0.1
11.6
0.0
0.6
11.4
In-School
11.5
0.0
9.4
0.0
2.6
0.0
0.3
36.1
0.0
3.2
23.6
In-School
0.5
7.1
0.0
0.8
0.0
0.8
0.2
0.4
0.0
0.6
0.5
Philanthropy
1.2
15.6
0.0
0.1
0.0
0.1
0.1
1.8
0.0
3.5
0.8
Philanthropy
1.9
1.0
1.5
0.0
0.0
0.0
0.2
2.2
0.1
0.8
5.2
Other
1.6
2.4
1.0
0.0
0.0
0.0
0.5
2.1
0.0
0.1
4.3
Other
6,027,783
26,861
160,955
106,219
240,429
335,243
520,600
765,743
485,154
1,898,304
1,488,274
100% of All
Ages Reported
Marketing
($1000)
1,618,600
11,463
54,475
62,549
64,283
117,694
138,713
146,731
236,553
293,645
492,495
100% of
Reported Youth
2-17 Marketing
($1000)
Note: * Companies were required to report spending for “All Ages” in a particular promotional activity only when they had child- or teen-directed marketing in that activity for the brand. Thus, the “All Ages” data reported here do not include any spending for a brand in
promotional activities that did not have child- or teen-directed marketing for the brand. Separately, companies were required to report total marketing for each brand. Food category totals based on “Total Marketing” expenditure data are reported in Table II.1 and give a
more complete picture of total spending to all ages, resulting in “Total Marketing” expenditures to all ages of $9.6 billion, compared to the $6.0 billion reported in this table.
39.9
TV
46.0
Carbonated Beverages
Food Category
All Ages*
TOTAL
7.7
63.8
Restaurant Foods
Fruits & Vegetables
20.3
TV
Carbonated Beverages
Food Category
Youth 2-17
Table C.2: Percent of Reported Marketing Expenditures for Each Food Category, By Promotional Activity, and Age Criteria (continued)
C-5
60,708
59,821
61,147
29,572
Candy/Froz. Desserts
Prepared Foods & Meals
Baked Goods
Dairy Products
71,266
Breakfast Cereal
17,931
39,649
38,307
Prepared Foods & Meals
Baked Goods
Dairy Products
(continued)
TOTAL
1,051,546
6,236
98,998
Candy/Froz. Desserts
Fruits & Vegetables
51,354
Snack Foods
108,606
145,008
Restaurant Foods
Juice & Non-carbonated Bevs.
474,192
Total Reported
Teen 12-17
Marketing
($1000)
870,329
Carbonated Beverages
Food Category
Teen 12-17
TOTAL
8,410
112,607
Snack Foods
Fruits & Vegetables
70,432
228,983
Breakfast Cereal
Juice & Non-carbonated Bevs.
161,479
77,171
Total Reported
Child 2-11
Marketing
($1000)
Restaurant Foods
Carbonated Beverages
Food Category
Child 2-11
54.5
11.2
61.9
63.2
70.0
61.0
62.1
39.2
63.0
58.0
3.1
Percentage
475,409
1,288
16,487
23,284
12,312
73,761
25,873
29,390
14,914
135,701
142,398
Value ($1000)
45.2
20.6
43.0
58.7
68.7
74.5
50.4
27.1
20.9
93.6
30.0
Percentage
Traditional Measured Media
474,670
943
18,302
38,641
41,866
37,029
69,954
27,629
144,146
93,737
2,424
Value ($1000)
Traditional Measured Media
12.2
38.6
11.2
12.8
5.8
19.2
16.2
14.5
6.3
13.6
15.1
Percentage
133,127
1,799
3,518
3,157
2,064
8,310
8,364
9,282
6,802
280
89,551
Value ($1000)
12.7
28.9
9.2
8.0
11.5
8.4
16.3
8.5
9.5
0.2
18.9
Percentage
In-Store and
Packaging/Labeling
105,974
3,248
3,307
7,824
3,490
11,655
18,247
10,247
14,342
21,979
11,634
Value ($1000)
In-Store and
Packaging/Labeling
151,808
0
4,785
8
98
0
330
45,281
10
0
101,296
Value ($1000)
14.4
0.0
12.5
0.0
0.5
0.0
0.6
41.7
0.0
0.0
21.4
Percentage
8.4
0.0
1.4
0.0
2.6
0.0
0.3
21.9
0.0
5.8
59.1
Percentage
In-School
72,737
1
423
12
1,578
0
383
15,392
10
9,334
45,604
Value ($1000)
In-School
40,553
806
1,843
2,292
585
1,364
2,817
1,332
25,220
344
3,950
Value ($1000)
3.9
12.9
4.8
5.8
3.3
1.4
5.5
1.2
35.4
0.2
0.8
Percentage
6.6
5.4
5.3
4.5
6.6
0.9
3.6
1.6
17.4
1.5
0.8
Percentage
Premiums
57,487
450
1,572
2,760
3,971
549
4,099
1,149
39,846
2,439
651
Value ($1000)
Premiums
Table C.3: Reported Marketing Expenditures By Food Category, Promotional Activity Group, and Age Criteria
13.8
40.4
13.6
11.6
10.9
13.5
9.7
22.1
7.2
19.3
21.4
Percentage
189,986
2,210
6,522
6,313
2,026
8,678
5,630
19,166
15,143
7,834
116,464
Value ($1000)
18.1
35.4
17.0
15.9
11.3
8.8
11.0
17.6
21.2
5.4
24.6
Percentage
Other Traditional Promotions
119,745
3,399
4,020
7,074
6,500
8,211
10,966
15,559
16,426
31,086
16,504
Value ($1000)
Other Traditional Promotions
60,664
133
5,153
4,594
846
6,885
8,339
4,155
9,177
848
20,534
Value ($1000)
5.8
2.1
13.5
11.6
4.7
7.0
16.2
3.8
12.9
0.6
4.3
Percentage
4.6
4.4
6.6
7.9
4.0
5.4
8.0
0.6
6.2
1.8
0.5
Percentage
New Media
39,716
370
1,947
4,836
2,416
3,263
8,958
456
14,213
2,902
355
Value ($1000)
New Media
C-6
236,553
146,731
138,713
117,694
64,283
62,549
54,475
11,463
Breakfast Cereal
Juice & Non-carbonated Bevs.
Snack Foods
Candy/Froz. Desserts
Prepared Foods & Meals
Baked Goods
Dairy Products
Fruits & Vegetables
485,154
765,743
520,600
335,243
240,429
106,219
160,955
Breakfast Cereal
Juice & Non-carbonated Bevs.
Snack Foods
Candy/Froz. Desserts
Prepared Foods & Meals
Baked Goods
Dairy Products
6,027,783
52.7
11.8
57.6
62.7
70.9
71.5
60.5
36.5
63.7
74.7
29.2
Percentage
4,092,718
6,481
127,370
45,617
215,376
260,531
382,522
402,036
387,746
1,582,250
682,789
Value ($1000)
67.9
24.1
79.1
42.9
89.6
77.7
73.5
52.5
79.9
83.4
45.9
Percentage
Traditional Measured Media
852,929
1,358
31,404
39,203
45,572
84,097
83,978
53,601
150,660
219,488
143,570
Value ($1000)
Traditional Measured Media
12.1
33.6
7.5
13.6
6.1
10.7
15.7
8.9
6.1
7.5
18.5
Percentage
678,900
13,070
4,724
44,525
8,829
38,854
87,158
116,412
22,034
90,222
253,072
Value ($1000)
11.3
48.7
2.9
41.9
3.7
11.6
16.7
15.2
4.5
4.8
17.0
Percentage
In-Store and
Packaging/ Labeling
195,431
3,857
4,075
8,534
3,899
12,587
21,739
13,124
14,518
22,059
91,039
Value ($1000)
In-Store and
Packaging/ Labeling
276,892
1
5,116
22
1,755
0
591
89,149
20
10,659
169,579
Value ($1000)
4.6
0.0
3.2
0.0
0.7
0.0
0.1
11.6
0.0
0.6
11.4
Percentage
11.5
0.0
9.4
0.0
2.6
0.0
0.3
36.1
0.0
3.2
23.6
Percentage
In-School
185,511
1
5,108
20
1,675
0
399
52,955
20
9,334
115,998
Value ($1000)
In-School
152,931
1,316
2,438
3,061
4,000
2,851
11,790
4,259
42,954
35,499
44,763
Value ($1000)
2.5
4.9
1.5
2.9
1.7
0.9
2.3
0.6
8.9
1.9
3.0
Percentage
4.1
10.5
3.4
4.5
6.2
1.4
4.5
1.2
17.2
0.8
0.9
Percentage
Premiums
66,933
1,206
1,843
2,791
4,000
1,682
6,204
1,754
40,623
2,439
4,391
Value ($1000)
Premiums
14.9
39.7
12.1
11.3
10.1
10.1
9.8
14.2
7.0
12.5
23.7
Percentage
635,999
5,059
14,681
7,985
6,653
19,350
23,230
139,701
16,781
142,865
259,693
Value ($1000)
10.6
18.8
9.1
7.5
2.8
5.8
4.5
18.2
3.5
7.5
17.4
Percentage
Other Traditional Promotions
241,166
4,549
6,575
7,076
6,511
11,863
13,536
20,864
16,514
36,721
116,957
Value ($1000)
Other Traditional Promotions
190,342
934
6,626
5,009
3,816
13,657
15,308
14,187
15,619
36,808
78,377
Value ($1000)
3.2
3.5
4.1
4.7
1.6
4.1
2.9
1.9
3.2
1.9
5.3
Percentage
4.7
4.3
10.0
7.9
4.1
6.3
9.3
3.0
6.0
1.2
4.2
Percentage
New Media
76,630
493
5,471
4,924
2,626
7,464
12,857
4,434
14,218
3,603
20,540
Value ($1000)
New Media
Note: * Companies were required to report spending for “All Ages” in a particular promotional activity only when they had child- or teen-directed marketing in that activity for the brand. Thus, the “All Ages” data reported here do not include any spending for a brand in
promotional activities that did not have child- or teen-directed marketing for the brand. Separately, companies were required to report total marketing for each brand. Food category totals based on “Total Marketing” expenditure data are reported in Table II.1 and give a
more complete picture of total spending to all ages, resulting in “Total Marketing” expenditures to all ages of $9.6 billion, compared to the $6.0 billion reported in this table.
TOTAL
26,861
1,898,304
Restaurant Foods
Fruits & Vegetables
1,488,274
All Ages
Reported
Marketing
($1000)
Carbonated Beverages
Food Category
All Ages*
1,618,600
293,645
TOTAL
492,495
Restaurant Foods
Total Reported
Youth 2-17
Marketing
($1000)
Carbonated Beverages
Food Category
Youth 2-17
Table C.3: Reported Marketing Expenditures By Food Category, Promotional Activity Group, and Age Criteria (continued)
Table C.4: Reported Marketing That Uses Cross-Promotions or Celebrities
Child 2-11
Food Category
Carbonated Beverages
Total Reported
Child 2-11 Marketing
($1000)
Reported Marketing That Uses
Cross-Promotions
Value ($1000)
Percentage
Reported Marketing That Uses
Celebrities
Value ($1000)
Percentage
77,171
225
0.3
0
0.0
Restaurant Foods
161,479
74,404
46.1
1,862
1.2
Breakfast Cereal
228,983
56,247
24.6
0
0.0
70,432
3,343
4.7
0
0.0
112,607
17,123
15.2
0
0.0
Candy/Froz. Desserts
60,708
4,224
7.0
684
1.1
Prepared Foods & Meals
59,821
8,584
14.3
70
0.1
Baked Goods
61,147
5,648
9.2
350
0.6
Dairy Products
29,572
8,474
28.7
0
0.0
8,410
3,977
47.3
285
3.4
870,329
182,249
20.9
3,251
0.4
Juice & Non-carbonated Bevs.
Snack Foods
Fruits & Vegetables
TOTAL
Teen 12-17
Food Category
Total Reported
Teen 12-17 Marketing
($1000)
Reported Marketing That Uses
Cross-Promotions
Value ($1000)
Percentage
Reported Marketing That Uses
Celebrities
Value ($1000)
Percentage
Carbonated Beverages
474,192
8,909
1.9
3,700
0.8
Restaurant Foods
145,008
1,420
1.0
1,119
0.8
71,266
32,495
45.6
0
0.0
108,606
658
0.6
0
0.0
Snack Foods
51,354
12,660
24.7
1,455
2.8
Candy/Froz. Desserts
98,998
3,169
3.2
5,014
5.1
Prepared Foods & Meals
17,931
1,220
6.8
70
0.4
Baked Goods
39,649
3,292
8.3
350
0.9
Dairy Products
38,307
5,315
13.9
13,852
36.2
6,236
958
15.4
285
4.6
1,051,546
70,096
6.7
25,845
2.5
Breakfast Cereal
Juice & Non-carbonated Bevs.
Fruits & Vegetables
TOTAL
(continued)
C-7
Table C.4: Reported Marketing That Uses Cross-Promotions or Celebrities (continued)
Youth 2-17
Food Category
Total Reported
Youth 2-17 Marketing
($1000)
Reported Marketing That Uses
Cross-Promotions
Value ($1000)
Percentage
Reported Marketing That Uses
Celebrities
Value ($1000)
Percentage
Carbonated Beverages
492,495
9,044
1.8
3,700
0.8
Restaurant Foods
293,645
75,824
25.8
1,902
0.6
Breakfast Cereal
236,553
56,592
23.9
0
0.0
Juice & Non-carbonated Bevs.
146,731
3,473
2.4
0
0.0
Snack Foods
138,713
27,229
19.6
1,455
1.0
Candy/Froz. Desserts
117,694
6,919
5.9
5,014
4.3
Prepared Foods & Meals
64,283
8,595
13.4
70
0.1
Baked Goods
62,549
6,873
11.0
350
0.6
Dairy Products
54,475
9,456
17.4
13,852
25.4
Fruits & Vegetables
11,463
4,165
36.3
470
4.1
1,618,600
208,170
12.9
26,813
1.7
TOTAL
All Ages*
Food Category
All Ages
Reported Marketing
($1000)
Reported Marketing That Uses
Cross-Promotions
Value ($1000)
Percentage
Reported Marketing That Uses
Celebrities
Value ($1000)
Percentage
Carbonated Beverages
1,488,274
10,121
0.7
14,363
1.0
Restaurant Foods
1,898,304
120,815
6.4
3,418
0.2
Breakfast Cereal
485,154
56,603
11.7
0
0.0
Juice & Non-carbonated Bevs.
765,743
3,798
0.5
0
0.0
Snack Foods
520,600
37,379
7.2
1,455
0.3
Candy/Froz. Desserts
335,243
6,919
2.1
5,195
1.5
Prepared Foods & Meals
240,429
9,095
3.8
70
0.0
Baked Goods
106,219
6,873
6.5
350
0.3
Dairy Products
160,955
9,513
5.9
31,674
19.7
26,861
4,165
15.5
470
1.7
6,027,783
265,281
4.4
56,996
0.9
Fruits & Vegetables
TOTAL
Note: * Companies were required to report spending for “All Ages” in a particular promotional activity only when they had child- or teen-directed marketing in that activity for the
brand. Thus, the “All Ages” data reported here do not include any spending for a brand in promotional activities that did not have child- or teen-directed marketing for the brand.
Separately, companies were required to report total marketing for each brand. Food category totals based on “Total Marketing” expenditure data are reported in Table II.1 and give a
more complete picture of total spending to all ages, resulting in “Total Marketing” expenditures to all ages of $9.6 billion, compared to the $6.0 billion reported in this table.
C-8
Appendix D
FTC Survey of Food and Beverage
Display Advertising on
Child- and Teen-Oriented Websites and
Select Data on Food Company Websites
I. Online Display Ad Survey
A. Introduction
As shown in Section II of the Report, company expenditures on Internet advertising
accounted for a relatively small percentage of youth-directed marketing costs for the reported
brands. But because the cost of Internet display advertising is substantially less than advertising
placement costs in traditional media, a focus on expenditure data may underestimate the degree
to which food and beverage marketers have relied on the Internet to advertise to children and
teens.1 Marketers may spend relatively little to reach large or predominantly child and teen
audiences through Internet campaigns, by simply adapting promotions originally developed for
other media.2 Moreover, websites can display large volumes of content indefinitely with very
low maintenance costs,3 and ad placements on third-party websites occasionally are provided for
free based on the purchase of ads in other media or as part of a cross-promotion.4 Accordingly,
various market data and studies on Internet advertising were used to supplement the reported
expenditure data.
One way to gauge the extent to which food marketers targeted children and teens on the
Internet is to calculate the proportion of impressions for display ads (e.g., banner ads)5 for
products within the various food and beverage categories that were generated on websites highly
popular with children and teens. Although the appearance of a food ad on such a website is
not conclusive proof that the marketer intentionally targeted children or teens,6 an industrywide intent to target might be inferred when, in the aggregate, display ads for particular food or
beverage brands or products tended to appear on websites for which children or teens comprise a
substantially disproportionate percentage of the audience.
B. Methodology
The Special Order required 44 food and beverage marketers to report online advertising as
targeted to children or adolescents when the ads appeared on a website during any month in 2006
in which children ages 2-11 or adolescents ages 12-17 comprised 20% or more of the site’s total
audience.7 Such websites had approximately double the percentage of children or adolescents
who comprised the total population of active Internet users.8
These sites also typically had a relatively high composition index9 (200 or higher) for those
age groups, meaning that 2-11-year-olds or 12-17-year-olds generally were at least 100% more
likely to have visited those sites than would have been predicted based on the percentage of
age 2-11 or age 12-17 Internet users. Accordingly, for purposes of this survey of online display
advertising, the Commission presumed that display ads on websites that satisfied either the 20%
D-1
threshold for children or adolescents or had a composition index of at least 200 were targeted to
those age groups.
The Commission relied on Nielsen//NetRatings’ AdRelevance service10 to identify the
websites that carried display ads for products and brands in the eleven food and beverage
categories defined in the Special Order.11 The AdRelevance service did not have pre-defined
search categories that meshed with the food and beverage category definitions from the Special
Order. Although the service allowed searching by the sub-segments “Consumer Goods Food”
and “Consumer Goods Beverages,” these classifications were overbroad (e.g., the food category
included pet food, as well as foods not covered by the Special Order, such as peanut butter, gum,
and mints, and the beverage category included alcohol and coffee). Therefore, the Commission
created “custom advertiser groups” for each of the eleven food and beverage categories
In a handful of cases, the
Commission included a company
or brand in more than one custom
food and beverage group because
AdRelevance did not catalog the
display ads deeper than the company
level or did not catalog ads for the
relevant brand. These instances are
noted in Table D.1.12
Table D.1: Advertisers Assigned to Multiple Custom Groups
Company/Brand/Product
Custom Groups
Athenos
Dairy, Snacks
Bob Evans
Prepared Foods, Restaurants
Bolthouse Farms
Fruit Juice, Fruit and Veg.
Boston Market
Prepared Foods, Restaurants
Cascadian Farms
Breakfast Cereals, Snacks, Fruit & Veg.
Dove
Candy, Frozen Desserts
Fiber One
Breakfast Cereals, Snacks
Hansen Beverage Co.
Carbonated Bev., Non-Carb. Bev.
Kashi Co.
Breakfast Cereals, Frozen Entrees, Baked
Goods, Prepared Foods
To quantify the extent to which
Nature’s Path
Breakfast Cereals, Snacks, Baked Goods
food or beverage marketers may have
Ocean Spray
Fruit Juice, Fruit & Veg.
targeted their Internet advertising
Odwalla
Fruit Juice, Snacks
to children or adolescents, the
Commission calculated, for each food and beverage custom group, the percentage of all ad
impressions generated on child- or teen-oriented websites. The Commission deemed a website
on which the AdRelevance service had reported food or beverage advertising to be child-oriented
if, for at least two months13 in 2006, either (a) the site’s composition index for children 2-11
was 200 or higher or (b) the site’s audience composition percentage for children was at least
20%. The Commission deemed a website teen-oriented if, for at least two months in 2006, either
(a) the composition index for adolescents was 200 or higher or (b) the audience composition
percentage for adolescents was at least 20%.
The Commission relied on audience demographic data provided by the Nielsen//NetRatings’
NetView service14 to categorize the websites as child- or teen-oriented.15 Because NetView did
D-2
not provide demographic data for every website on
which AdRelevance had captured food and beverage
ads, the Commission categorized some websites
as child- and/or teen-oriented based solely on their
content.
Tables D.2 and D.3 provide the reasons for
categorizing websites as child- and/or teen-oriented.
The notation “comp ind” means that the site had a
composition index of 200 or greater for at least two
months of 2006. The notation “20 percent” means
that the site had an audience composition for the
age group of at least 20% for at least two months
of 2006. The notation “content” means that the site
was deemed child- or teen-oriented based on its
content.16
Table D.2: Child-Oriented Websites
Site/Sub-Site
comp ind
Cartoon Network (All)
comp ind
Disney Online DisneyChannel.com
comp ind
Kaboose Network Zeeks.com
Nickjr.com (All)
comp ind
comp ind
Runescape (All)
comp ind
Classification
Reason
MySpace (All)
comp ind
IGN.com (All)
comp ind
Runescape (All)
comp ind
GameSpot (All)
comp ind
The N (All)
comp ind
MTV (All)
comp ind
Bolt (inactive) (General)
Shockwave (All)
AddictingGames.com (All)
GameFAQs (All)
ARTISTdirect (All)
SuperCheats.com (All)
DC Comics (All)
comp ind
20 percent
comp ind
content
comp ind
content
content
GameWinners (All)
comp ind
UGO (All)
comp ind
Alloy (All)
content
Ultimate-Guitar.com (All)
content
GameSpy Network gamespy
content
Xanga.com (All)
comp ind
A-Z Lyrics Universe (All)
comp ind
SparkNotes (General)
comp ind
content
atomFILMS (All)
comp ind
Bolt (General)
comp ind
Lyrics.com (All)
comp ind
adult swim (All)
content
Disney Online (General)
Site/Sub-Site
TEEN PEOPLE Online (inactive) (All)
Classification
Reason
Nick.com (All)
Table D.3 Teen-Oriented Websites
content
sing365.com (All)
comp ind
BlackPlanet.com (All)
comp ind
Weblogs Inc. (General)
comp ind
GameZone (All)
CheatCodes.com (All)
content
comp ind
TeamXbox (All)
content
Kaboose Network Funschool
content
Angelfire (All)
content
Kaboose Network Kids Domain
content
Marvel (All)
content
LetsSingIt.com (All)
content
GameSpy Network fileplanet
content
4KIDS TV (All)
Sports Illustrated for Kids (All)
comp ind
content
Yahoo! Kids (All)
comp ind
Disney Online Playhouse Disney
comp ind
GO (All)
comp ind
Pojo (All)
Cheat Code Central (All)
ChannelOne.com (inactive) (All)
GameSpy Network (General)
content
comp ind
content
comp ind
content
GameShark.com (All)
ALFY (All)
content
Newgrounds (All)
comp ind
Pojo (All)
content
Lyrics On Demand (All)
comp ind
Garfield.com (All)
content
KidsWB (inactive) (All)
content
Time for Kids (All)
Game Revolution (All)
GamesRadar (All)
GameShark.com (inactive) (All)
D-3
content
content
comp ind
content
Tagged (All)
comp ind
1UP.com (All)
comp ind
C. Results
Based on an analysis of Nielsen//NetRatings data, it was possible to estimate the number of
Internet impressions17 for display ads (e.g., banner ads) seen on websites popular with children
and teens in 2006 for brands within the eleven food and beverage categories set forth in the
Special Orders.18 Display ads for food and beverages generated roughly 2 billion impressions on
child-oriented websites. A large proportion of ad impressions for baked goods (54%), breakfast
cereals (40%), and snacks (29%) was generated on child-oriented websites, such as Nick.com,
CartoonNetwork.com, DisneyChannel.com, and Zeeks.com. See Figure D.1.
The reach of online display
advertising remains relatively
small when compared with food
advertising on television. An
FTC study of 2004 television
advertising found that the
average child saw 5,538 food
ads, and the average teen saw
Figure D.1: Online Display Advertising for Food & Beverages on
Child-Oriented Websites (2006)
% of Total Impressions from Child-Oriented Websites
100
90
80
70
60
54
50
40
40
29
30
22
20
B'fast
Cereals
Candy
Carb.
Bev.
3
2
0
Baked
Goods
10
8
7
10
0
Dairy
Frozen & Fruits &
Veg.
Chilled
Dess.
NonCarb.
Bev.
3
Prep.
Foods
Rest.
Snacks
Source: Nielsen//NetRatings NetView (U.S. Home & Office) & AdRelevance (based on custom food and
beverage advertiser groups)
Figure D.2: Online Display Advertising for Food & Beverages on
Teen-Oriented Websites (2006)
100
90
% of Total Impressions from Teen-Oriented Websites
Display ads generated
more than 9 billion impressions
(most of them from MySpace)
on teen-oriented websites in
2006. Approximately twothirds of carbonated beverage
ad impressions and one-third of
QSR ad impressions appeared to
have been teen-directed, although
most of those impressions were
generated on MySpace, which,
for 2006, qualified as a teendirected site under the FTC
definition, but not for 2007 and
beyond. Other than MySpace,
many of the impressions were
generated on sites like IGN.com,
Runescape.com, and GameSpot.
com. See Figure D.2.
All Sites Minus MySpace
MySpace
80
1 67
70
60
50
40
2 32
30
3 15
20
2 14
4 11
10
2 0
1 0
0 0
0
Baked
Goods
B'fast
Cereals
Candy
Carb.
Bev.
Dairy
Froz. &
Chilled
Dess.
1 0
0 1
0 0
Fruits &
Veg.
NonCarb.
Bev.
Prep.
Foods
Rest.
Snacks
Source: Nielsen//NetRatings NetView (U.S. Home & Office) & AdRelevance (based on custom food and
beverage advertiser groups)
D-4
5,512 food ads that year.19 “Children’s shows” – defined in that study as programs where children
ages 2-11 were 50% or more of the audience – generated more than 136 billion television food
ad impressions in the aggregate,20 a number that likely did not decrease in subsequent years.21
The number of food ad impressions generated by teen-oriented television shows – programs
where teens 12-17 were 20% or more of the viewing audience22 – also was large. Teens alone
received over 33 billion impressions on such shows.23
II. Select Data on Food Company Websites
As shown above, the television impression numbers eclipse the online impression numbers.
But as with the expenditure data, the differences between exposure to paid ads on television
versus paid ads on the Internet do not tell the whole story. The display ad survey data do not
account for food and beverage advertising triggered by term-searching on search engines,24 nor
do they capture the extent to which children and adolescents visited websites sponsored or hosted
by food marketers – sites that typically feature “advergames”25 and other promotional activities
directed to those age groups. Researchers have queried whether the interactive content on such
sites creates a potentially more persuasive advertising experience for children compared to the
passive viewing of a thirty- or sixty- second television spot or a fleeting online banner ad.26
A 2006 study sponsored by the Henry J. Kaiser Family Foundation found that 85% of the
food brands most heavily advertised during the times children were most likely to be watching
television had websites that either directly targeted children or contained content, such as games,
promotions, viral marketing efforts, and movie and television tie-ins, that would likely be of
interest to them.27 The more heavily trafficked websites included in the Kaiser study, such as
Candystand.com, Cheetos, Frito-Lay,28 Kraft Entertainment,29 Millsberry.com, and Postopia.com,
also met the Special Orders’ definition of child- and/or teen-directed Internet advertising, based
on their audience demographics.30 In 2006, these sites averaged between 500,000 and 900,000
unique visitors per site.
Nielsen//NetRatings data from March 2007 through March 2008 show that, in some
months, visitors spent thirty or more minutes on food company websites playing advergames or
participating in contests, sweepstakes, or other promotions. This was approximately the same
amount of time that visitors spent at some of the media company, online gaming, and social
networking sites most popular with children and teens, such as Nick.com, CartoonNetwork.com,
DisneyChannel.com, AddictingGames, Gamespot, and Xanga.com. Compare Tables D.4 and
D.5.
D-5
Table D.4: Average Time Per Person Per Month Spent on
Selected Food Company Websites between
March 2007 and March 2008
Fewest
Monthly
Minutes
Most Monthly
Minutes
Burger King
6:13
9:40
Candystand.com
10:13
Frito-Lay
Kellogg
Table D.5: Average Time Per Person Per Month Spent on
Selected Child- and Teen-Oriented Websites
between March 2007 and March 2008
Fewest
Monthly
Minutes
Most Monthly
Minutes
AddictingGames
23:12
54:08
22:41
Cartoon Network
33:49
42:36
2:29
9:45
IGN.com
10:28
15:12
3:35
33:56
Disney Online
26:37
40:13
Kraft Entertainment
11:07
27:57
DisneyChannel.com
16:35
27:23
M&M’s
5:24
10:25
Gamespot
14:45
23:46
Mars
5:46
8:50
Newgrounds
6:35
23:10
McDonalds.com
1:52
5:36
Nick.com
23:30
36:00
Millsberry.com
8:52
20:29
Shockwave.com
8:40
23:21
Nabiscoworld.com
6:40
23:24
Xanga.com
6:14
19:35
Nestle
6:00
11:14
Postopia.com
16:32
31:48
Wonka
N/A
30:14
Yum! Restaurants
6:45
11:04
Website
Website
Source: Nielsen//NetRatings Trend Report (Internet Applications
Included; U.S. Home and Work Panel).
Source: Nielsen//NetRatings Trend Report (Internet Applications
Included; U.S. Home and Work Panel).
Furthermore, visitors
tended to go to multiple food
company websites each month.
In the last nine months of 2007,
the audiences for McDonald’s.
com, Nabiscoworld.com, and
Postopia.com and other food
company websites overlapped
substantially.31 See Table D.6.
Accordingly, it is likely that
in 2006 as well, a significant
number of children and teens
logged an hour or more per
month on food company
websites.
A synergistic relationship
appears to exist between the
Table D.6: Percentages of McDonald’s, Nabiscoworld.com, and Postopia.com
Visitors Who Also Visited Other Food Company Websites in the
Same Month (highest monthly overlap % March-December 2007)
McDonald’s
Nabiscoworld.com
Postopia.com
Campbell Soup Co.
66
47
34
Candystand.com
55
53
34
Frito-Lay
40
48
25
General Mills
53
45
35
Kellogg
53
46
35
Kraft Entertainment
54
100
100
M&M’s
57
54
34
Mars
58
58
34
100
100
McDonald’s
Nabiscoworld.com
80
Nestlé
59
52
93
38
PepsiCo
54
51
35
Postopia.com
60
83
The Coca-Cola Co.
55
46
35
Yum! Restaurants
61
45
34
Source: Nielsen//NetRatings Audience Overlap Report (Internet Applications Included; U.S.
Home and Work Panel). Each number shows the percentage of visitors to a column website who
also visited a row website – e.g., 58% of Nabiscoworld.com’s visitors also visited Mars’s website.
D-6
food and beverage display advertising on non-food company websites and branded entertainment
on food sites. At various points in 2007, 98% of McDonald’s visitors also visited Xanga.com,
and 76% visited AddictingGames.com. Fifty-six percent of Kraft Entertainment visitors visited
Disney Online during one month, and 54% visited Nick.com. Similarly, 87% of Postopia.com
visitors also visited Nick.com at one point, and 74% visited Disney Online. See Table D.7.
1
15
21
25
25
Disney Online
34
58
73
64
76
DisneyChannel.com
6
36
33
37
Gamespot
31
26
58
IGN.com
21
13
Nick.com
14
18
Neopets
6
Newgrounds
Runescape
Yum! Restaurants
Cartoon Network
Postopia.com
24
Nabiscoworld.com
20
Millsberry.com
38
McDonald’s
Kellogg
15
M&M’s
General Mills
9
Kraft Entertainment
Candystand.com
Even when
combined with
the online display
ad data, the time
children and
teens spend on
food company
Campbell Soup Co.
food company
websites directed
visitors to media
company websites,
which ran display
ads for food and
beverages.
Table D.7: Percentages of Visitors to Food Company Websites Who Also Visited Child- or
Teen-Oriented Websites in the Same Month (highest monthly overlap % MarchDecember 2007)
Burger King
The display ads
on media company
websites likely
encouraged visits to
the food company
websites, just as
29
35
76
33
61
47
13
10
6
49
25
25
26
4
56
43
71
62
65
74
41
31
41
25
56
41
51
64
11
18
17
11
22
59
10
49
47
15
45
23
37
19
15
60
11
52
38
15
41
28
33
54
21
59
40
55
87
16
11
29
14
24
31
19
53
26
48
48
5
10
7
17
11
14
12
5
64
6
47
46
5
15
17
38
29
28
19
27
53
32
52
67
16
Shockwave
4
35
37
18
41
25
15
55
12
55
39
10
Xanga
7
9
39
27
13
23
11
98
3
61
35
15
AddictingGames
Source: Nielsen//NetRatings Audience Overlap Report (Internet Applications Included; U.S. Home and Work Panel).
Each number shows the percentage of visitors to a column website who also visited a row website – e.g., 59% of
McDonald’s visitors also visited Nick.com.
websites probably remains far less than the amount of time they are exposed to television
food advertising.32 Nevertheless, food company websites appear to be a critical component of
integrated marketing campaigns that strive to provide brand exposure through traditional media
vehicles – exposure that is reinforced through a combination of paid display advertising and
entertainment on company-operated websites. See Section III.
D-7
Endnotes
1.
See Paul Farhi, Salvation? The Embattled Newspaper Business Is Betting Heavily on Web Advertising
Revenue to Secure Its Survival. But that Wager Is Hardly a Sure Thing, 29 Am. Journalism Rev. 18 (Dec.
1, 2007) (“The cost of reaching a thousand online readers – a metric known in advertising as CPM, or cost
per thousand – remains a fraction of the print CPM. The price differential can be as much as 10-to-1[.]”);
JPMorgan, Nothing But Net: 2008 Internet Investment Guide 5 and 23, Table 14 (Jan. 2, 2008), available at
https://mm.jpmorgan.com/stp/t/c.do?i=2082C-248&u= a_p*d_170762.pdf*h_-3ohpnmv (noting that more than
80% of online inventory sells for less than $1 CPM and that the average CPM rate for 2006 was $3.50); Todd
Wasserman, Online Ad Buys Are More Targeted, More Expensive; Flight to Quality Drives Up Price of Best
Internet Media, Brandweek (Apr. 3, 2006), at 5 (noting that the CPM for network television shows is about
$25, compared to the $3.81 average CPM for online media).
2.
Many company-operated websites featured videos of television ads, and also utilized content produced for
packaging and in-store displays relating to cross-promotions, particularly the contests and sweepstakes tied to
those cross-promotions.
3.
A number of companies reported content on company-operated websites that had been created and posted
to the websites prior to 2006, including online games, downloads such as screensavers and wallpapers, and
e-cards.
4.
One company reported receiving a free branded presence on a children’s toy website as an added value for
print ads placed in the toy company’s magazine. Another company reported that, as part of a cross-promotion
involving Nickelodeon characters Jimmy Neutron and Timmy Turner, Nick.com designed and provided a
microsite on its website that included the food product’s branding and a related advergame. This was provided
at no extra cost as an added value for other online ad space the company purchased on Nick.com.
5.
Online display ads are different from ads triggered by term-searching on search engines like Google or Yahoo
and from websites sponsored or hosted by food marketers, which often contain “advergames” and other
promotional activities featuring their products.
6.
Such an assumption would run the risk of both over- and under-inclusiveness. It might be over-inclusive when
the company had no subjective intent to promote its product or brand to children, or the ad placement was
either erroneous or an inconsequential component of the overall ad campaign. It might be under-inclusive
when the company intended to target children (and possibly other age groups) through ads on websites that
reached a substantial – even a majority of children – but because the sites’ overall audiences were so large,
children were a relatively small percentage of those audiences. In the latter case, other evidence, such as
marketing or media plans or the testimony of brand managers, might be necessary to confirm an intent to
target. It would be impracticable, however, to conduct such an in-depth inquiry across the hundreds of brands
and products that comprise the eleven food and beverage categories.
7.
See FTC Order to File Special Report (Special Order), No. P064504, OMB Control No. 3084-0139, at
Appendix B-3 ¶ (d)(2) & B-4 ¶ (e)(3), C-3 ¶ (d)(2) & C-4 ¶ (e)(3) (July 31, 2007), available at www.ftc.gov/
os/6b_orders/foodmktg6b/index.shtm.
8.
Data from March through December 2006 show that children constituted between 8.87% and 9.47% of
the active Internet audience and adolescents constituted between 10.59% and 11.25% of the active Internet
audience. Source: Nielsen//NetRatings NetView (Home and Work Panel).
9.
The “composition index” is an index of the percentage for the selected target among visitors to a specific
website compared to the percentage for the same target among total Web users over that time period. A
composition index above 100 indicates that a greater percentage of the target demographic (e.g., children 2-11)
visited a particular website compared to the percentage for the same demographic among total Web users.
10. AdRelevance captures advertising activity across all major industries, channels, formats, and platforms on the
Web and gathers a representative sample of a website’s advertising activity.
11. The AdRelevance service does not have pre-defined food and beverage categories that mesh with the food and
beverage category definitions from the Special Order, so the Commission created eleven custom advertiser
groups. The groups consist of companies, divisions, brands, and/or products that fall into each of the eleven
D-8
food and beverage categories. These groups were compiled through term searches in the AdRelevance
advertiser database for food and beverage products, brands, and companies.
12. Other companies were included in certain food and beverage categories, depending on their overall portfolio of
products. First, AdRelevance does not provide a specific category for Sara Lee Corporation’s frozen desserts.
The only choice is Sara Lee Corporation – Food and Beverage Division. Even though Sara Lee markets bread,
condiments, and deli products, the Commission included it in the frozen desserts custom group because Sara
Lee markets so many frozen desserts. Second, Hunt’s was included in the fruit and vegetable group because
it sells mostly tomato-based products. For the same reason, the Commission excluded Hunt’s from the snack
category, even though it does sell a line of puddings. Third, Newman’s Own was excluded entirely because
most of its products fall outside the categories in the Special Order (e.g., salad dressing, steak sauce, salsa,
spaghetti sauce, marinade). A related company – Newman’s Own Organics – does market snacks, but it is a
separate company for which AdRelevance has no listing. Moreover, that company also markets coffee and pet
food.
13. The Commission required a website to satisfy the 20% audience composition/200 composition index threshold
for at least two months in the relevant year, to avoid misclassifying a site based on what might have been one
anomalous month of web traffic. This approach resulted in the exclusion of YouTube.com and Tickle.com as
teen-oriented sites in 2006.
14. There is an ongoing debate over how the two major Internet audience measurement services – Nielsen//
NetRatings and comScore, Inc. – measure online audience sizes. Both companies have agreed to submit
to a third-party audit of their online measurement processes. See Emily Steel, Agencies Know the Score on
Web Tracking, Wall St. J., Apr. 21, 2008, at B8. The Commission has relied on data provided by Nielsen//
NetRatings for prior analyses. See, e.g., Federal Trade Commission, Marketing Violent Entertainment
to Children: A Fifth Follow-Up Review of Industry Practices in the Motion Picture, Music Recording &
Electronic Game Industries 2 (2007), available at www.ftc.gov/reports/violence/070412MarketingViolentEChi
ldren.pdf.
15. NetView provides demographic information for websites visited by its panel members, who have special
tracking software installed on their Internet-accessible computers. NetView does not provide demographic
data on all websites, only for sites with enough children or teen traffic to generate reliable data.
16. For example, the use of the word “kid” in the site’s name often indicated that the site was directed to children
(e.g., Kaboose Network Kids Domain, Sports Illustrated for Kids). Other sites (e.g., Kaboose Network Zeeks.
com, funschool), were considered child-oriented because they prominently featured child-oriented animated
characters, games, or activities. Similarly, the use of the word “teen” in the site’s name often indicated that it
was teen-oriented (e.g., Seventeen.com). In addition, several websites devoted to console video games were
categorized as teen-oriented even though NetView had no reliable demographic data for them (e.g., TeamXbox,
GameWinners, SuperCheats) because of their similarity to video game sites that had a teen composition index
of 200 or higher (e.g., GameFAQs, GamesRadar, Cheat Codes). Certain music lyrics websites were classified
as teen-oriented for a similar reason.
17. In a virtual medium, impressions are the number of times an online ad is displayed to a visitor.
18. The data capture only ad impressions for food and beverages that fell into the eleven categories set out in the
Special Orders. Thus, ads for gum or bread, among other products, would not be reflected in the impression
numbers. An FTC study of 2004 television advertising showed that foods like gum and bread constituted a
minuscule proportion of food advertising to children and teens on television during 2004. See Federal Trade
Commission, Bureau of Economics Staff Report, Children’s Exposure to TV Advertising in 1977 and 2004:
Information for the Obesity Debate 87, Table C.1, and 92, Table C.4 (2007) (FTC BE TV Study), available at
www.ftc.gov/os/2007/06/cabecolor.pdf.
19. FTC BE TV Study at 36, Table 3.12. The average adult saw 7,212 such ads. Id.
20. This figure was calculated with data from Tables 3.6 and 3.12 of the FTC BE TV Study. See FTC BE TV
Study at 25, 36. In 2004, the average child saw 50.4% of 5,538 (or 2,791) food ads on children’s shows, the
average teen saw 15.4% of 5,512 (or 849) food ads on children’s shows, and the average adult saw 3.1% of
7,212 (or 234) food ads on children’s shows. According to The Nielsen Company, there were 39.48 million
D-9
child viewers, 24.7 million teen viewers, and 211.4 million adult viewers during the 2003-04 television year.
That means that the total number of television food ad impressions generated from children’s shows was the
sum of (2,791 x 39.48 million) + (849 x 24.7 million) + (234 x 211.4 million), which equals 136,105,740,000.
That number grows when impressions are calculated based on shows where children ages 2-11 were 30%
or more of the viewing audience, which is the demographic cut-off the Special Order established for childoriented television shows. See Special Order at B-2 n.12. The average child saw 59.9% of 5,538 (or 3,319)
food ads on such shows. That alone translates into more than 20 billion additional television ad impressions.
Data for teen and adult exposure to food ads on shows where children were 30% or more of the audience were
not available, so the total number of impressions from such shows could not be calculated.
21. It does not appear that the food ad numbers for children changed considerably for the 2004-05 television year.
According to the Kaiser Family Foundation, its study of television food advertising found that children ages
2-11 saw 5,600 food ads in 2005. See The Henry J. Kaiser Family Foundation, Food for Thought: Television
Food Advertising to Children in the United States 52, Table 32 (2007), available at http://kff.org/entmedia/
entmedia032807pkg.cfm (2-7 age group saw 4,427 food ads; 8-12 age group saw 7,609; 13-17 age group saw
6,098); The Henry J. Kaiser Family Foundation, Children’s Exposure to Food Advertising on Television: A
Side-by-Side Comparison of Results from Recent Studies by the Federal Trade Commission and the Kaiser
Family Foundation 1 (2007), available at http://kff.org/entmedia/7654.cfm (stating that its study showed that
2-11 year-olds saw 5,600 food ads in 2005). Kaiser’s data paint a different picture for teens in 2005. Even
using Kaiser’s narrower classification of teens (13-17, instead of the 12-17 band used in the FTC BE TV
Study), teens saw an additional 500 food ads in 2005 compared to 2004.
22. See Special Order at C-2 ¶ (a)(i)(B).
23. Of the 5,512 food ads viewed by the average teen, 24.3% (or 1,339) ads appeared on shows where teens 12-17
were at least 20% of the audience. Source: Table 10 (Estimated Annual Exposure to Advertising for Ages 1217) (on file with Commission Staff). Data for child and adult exposure to food ads on shows where teens were
20% or more of the audience were not available, so the total number of impressions from such shows could not
be calculated.
24. According to the Internet research firm comScore, a three-month study of the role of online search in
generating website traffic for several consumer packaged goods categories, including food, found that 47% of
visitors to packaged foods websites arrived as a result of a search query. See Press Release, comScore, Search
Marketing Vital for Brand Building and Driving Offline Sales for Consumer Packaged Goods Companies (Oct.
23, 2007), available at www.comscore.com/press/release.asp?press=1835. In addition, it has been reported
that keyword search advertising has generated more advertising revenue than display ads. See Conversational
Marketing: Word of Mouse, Economist, Nov. 8, 2007 (noting that display ads account for 32% of online ad
revenue versus 41% for search advertising).
25. Advergames are interactive online games that incorporate a food or beverage product into the game content.
26. See, e.g., Elizabeth S. Moore & Victoria J. Rideout, The Online Marketing of Food to Children: Is It Just
Fun and Games?, 26 J. Pub. Pol’y & Marketing 202, 209 (2007) (stating that food marketers can design
advergames “to maximize the number and duration of brand exposures” and “build brand awareness and
create favorable views of their brands in a context that is designed to be fun and unlikely to trigger a child’s
developing but immature advertising defenses”; noting that further research needs to be done to understand
the persuasion process that may occur in advergames, such as the extent to which children’s brand awareness,
beliefs, food preferences, and actual choices are influenced by extended exposure to a brand in a game).
Consistent with this hypothesis, one food company submitted research that explored ways to increase
registrations of boys and girls on its branded website, the time they spend on the site, and their overall
impression of the brand via the site. Among other things, the research suggested enhancing children’s
emotional experience with the company’s branded website by allowing users to better customize their virtual
avatars and integrating the avatars into the activities available at the site, such as games, simulated life
activities (e.g., building a house, driving), and communicating with friends.
D-10
27. See Elizabeth S. Moore, The Henry J. Kaiser Family Foundation, It’s Child’s Play: Advergaming and the
Online Marketing of Food to Children 4 (2006) (Kaiser Advergaming Report), available at www.kff.org/
entmedia/7536.cfm.
28. According to Nielsen//NetRatings, Frito-Lay is a brand that subsumes the Cheetos.com and Doritos.com
channels, among other websites.
29. According to Nielsen//NetRatings, Kraft Entertainment is a channel of Kraft.com that subsumes the domains
Postopia.com and Nabiscoworld.com, among other websites.
30. According to the Kaiser Advergaming Report, during the three-month period of the study, children ages 2-11
made 12.2 million visits across the 77 food brand websites included in the study. See supra note 27, at 4
(citing Nielsen//NetRatings data) & 51 (Appendix C).
31. During one or more months, 80% of McDonald’s visitors and 93% of Postopia.com’s visitors also visited
Nabiscoworld.com. Sixty-six percent of McDonald’s audience visited a Campbell Soup Company’s website,
and 60% also visited Postopia.com. See Table D-6.
32. By comparison, the FTC BE TV Study showed that in 2004, children on average were exposed to 2,202
minutes of food advertising, and teens 2,193 minutes. See FTC BE TV Study at 10, Table 3.1.
D-11
Appendix E
CBBB Children’s Food & Beverage
Advertising Initiative: Tables Summarizing
Individual Food Company Commitments
Regarding Food Marketing to Children
CBBB CHILDREN’S FOOD & BEVERAGE
ADVERTISING INITIATIVE
List of Participants:
Burger King Corporation
Cadbury Adams USA
Campbell Soup Company (including subsidiary, Pepperidge Farm, Inc.)
The Coca-Cola Company
ConAgra Foods
General Mills
The Hershey Company
Kellogg Company
Kraft Foods Global, Inc.
Mars Snackfoods US
McDonald’s USA
PepsiCo, Inc.
Unilever
The following tables set forth specific details of the various company pledges:
E-1
E-2
Product Placement
Interactive games
Nutritional
standards for
“Healthy Dietary
Choices”
Definition of
“Directed to
Children Under 12”
Policy on
Advertising Directed
to Children Under 12
● ≤35% fat calories
● ≤10% saturated fat calories
● ≤35% total sugar by weight
● <30% fat calories
● <10% saturated fat calories
● no added trans fats
● Effective 1/1/08
● Will not approve, pay for, or actively seek placement of
food or beverage products in program/editorial content
of any medium in US primarily directed to children <12
● Effective 12/31/08
● Effective 1/1/08
● Will not pay for or actively seek to place its food and
beverage products in program/editorial content of
any medium primarily directed to children <12 for the
purpose of promoting the sale of those products
● Effective 1/1/08
● Will not approve, pay for, or actively seek placement of
● Any game primarily directed to children <12 that
food or beverage products in any interactive game in the
incorporates a company food or beverage will
US primarily directed to children <12, for the purpose of
incorporate or be accompanied by products
promoting the sale of the products, unless the products
representing a “healthy dietary choice” or “healthy
are Kids Meals meeting the nutrition criteria
lifestyle messaging”
● ≤10% calories from added sugars
● ≤600 calories
● ≤560 calories
● Or, any program or website where audience generally
consists of 30% or more children <123
● Or, any program or website where audience generally
consists of 30% or more children <12
Kids Meal:
● Radio: based on Arbitron standard demographics for
audiences <12
● Radio: based on Arbitron standard demographics for
audiences <122
Kids Meal (entree, side dish & beverage):
● TV and Internet: based on Nielsen standard
demographics for audiences <12
● TV and Internet: based on Nielsen standard
demographics for audiences <12
● Effective 1/1/08
● Some TV ads will also include “healthy lifestyle
messages” designed to appeal to children
● Some ads will also promote healthy lifestyle messages
● Effective 12/31/08
●100% of national TV, radio, and Internet ads directed at
children under 12 will advertise meals that constitute
“healthy dietary choices”
McDonald’s
● 100% of national TV, radio, print, and Internet ads
directed to children under 12 will be for Kids Meals that
meet BK’s nutrition criteria1
Burger King
Quick-Serve Restaurant Companies
E-3
Elementary school
advertising
Third-party licensed
characters
● Will not advertise food or beverage products in
elementary schools
● Effective 1/1/08
● Effective 1/1/08
● Effective 1/1/08
● On company websites directed to children, will limit use
of third-party characters to promotion of “healthy dietary
choices” or healthy lifestyle messages
● Will limit use of third-party licensed characters in kiddirected ads to promotion of “healthy dietary choices”
McDonald’s
● Will not advertise food and beverage products in
elementary schools4
● Effective 12/31/08
● Will limit use of third-party licensed characters in kiddirected national ads to promotion of Kids Meals
meeting nutritional criteria
Burger King
E-4
● Not applicable
● Interactive games will be used
consistent with the terms of the
Initiative
Interactive games
● > 50% of audience is children under
12
Nutritional
standards for
“Healthy Dietary
Choices”
Definition of
“Directed to
Children Under 12”
Policy on
● No advertising directed to children
Advertising Directed
under 12 in any medium for
to Children Under
Bubblicious brand5
12
● Effective 3/31/08
Cadbury Adams
Candy, Gum Companies
Mars
● Effective 1/1/07
● Will not include games designed
for children <12 on its consumer
websites
● Not applicable
• unmeasured: on company website,
will not use subject matter,
graphics, etc. targeted to children
<12
• measured: 30% or more average
annual audience is children <12
● Internet:
● Radio & Print: 30% or more average
annual audience is children <12
● TV: programming “traditionally
considered children’s programming”
or where 30% or more average
annual audience is children <12
● Effective 6/30/07
● Will not include games for children
<12 on company websites unless
food products featured there meet
nutrition criteria8
● Not applicable7
● Print publications or Internet sites
with content aimed at children <126
● Child-directed content (e.g., TV
programming during kids-block
times, other TV programs directed
to children <12), or
● TV, radio, print, Internet: venues
where <12 audience at time of
media purchase is estimated to
exceed 25% of total audience over
entire season, or
● Effective 9/30/07
● No TV, radio, or Internet ads for food ● No ads for food products directed to
products directed to children under
children under 12
12 (may run ads promoting healthy ● Effective 3/31/07
lifestyles)
● Will include “healthy lifestyle
● Effective 1/1/07
messaging” and nutrition
information at company websites
Hershey Co.
E-5
● Will not advertise to children or
youth in school settings9
● Effective 1/1/07
● Will not advertise Bubblicious in
schools
● Effective 3/31/08
Elementary school
advertising
● Will not license third-party
characters or personalities targeted
to children <12
● Effective 1/1/07
● Will not participate in paid product
placement or actively seek unpaid
product placement in media
targeted to children <12
● Not applicable
● Effective 3/31/08
● Will not allow product placement
of Bubblicious in medium primarily
directed to children <12
Hershey Co.
Third-party licensed
characters
Product Placement
Cadbury Adams
● Will not advertise products in
elementary schools
● Will not use third-party licensed
characters in ads directed to
children <12
● Will not seek or authorize paid
product placement in media
primarily intended for children <12
Mars
E-6
● Effective 1/1/08
● Company websites directed to children will also encourage active lifestyles
● 100% of ads directed to children will feature Smart Spot products
PepsiCo.10
● No more than: 100 calories, 35% fat calories, 10% saturated fat calories, 0g
trans fat, 25% calories from added sugar, 240mg sodium
Pudding (per serving)
● At least 1/4 cup fruit/vegetable, or 8g whole grain
● At least 10% Daily Value for 2 positive nutrients
● No more than: 350 calories, 35% fat calories, 10% saturated fat calories, 0g
trans fat, 25% calories from added sugar, 750mg sodium
Canned Pasta (per serving)
● At least 1/4 cup fruit/vegetable, or 8g whole grain
● 10% or more Daily Value for one or more positive nutrients18
● ≤3g fat, ≤1g saturated fat, 0g trans fat, ≤60mg cholesterol, ≤480mg sodium
Beverages
Examples of Smart Spot nutrition standards:
● Is 25% lower in calories, fat, saturated fat, sodium, or sugar17
● Is formulated to have specific health or wellness benefits16 or
● Meets limits for fat, saturated fat, trans fat, cholesterol, sodium, and added
sugar15 (see examples below) or
A product can qualify for the “Smart Spot” in 3 ways:
Internet: comScore Networks estimate of website target age (for third-party
sites) or company-owned sites primarily directed to children <12
Print: PIB or MRI data13
● Media “primarily directed to” and
Factors considered:12
having an audience of 50% or more TV: Nielsen and IRI ratings, time of programming, programming content
children <12
Radio: Arbitron and/or RADAR ratings
● Effective already11
● No ads directed to children for any
beverage product
Nutritional standards ● Not applicable14
for “Healthy Dietary
Choices”
Definition of
“Directed to
Children Under 12”
Policy on
Advertising Directed
to Children
Coca-Cola Co.
Beverage Companies
E-7
Elementary school
advertising
Third-party licensed
characters
● Will not feature beverages within
editorial content of any medium
primarily directed to children <12
Product Placement
● Does not advertise in schools19
● Effective already
● Will not use third-party licensed
characters in ads on any media
primarily directed to children <12
● Effective already
● Not applicable (does not conduct
promotional efforts on interactive
games directed at children <12)
Interactive games
Coca-Cola Co.
● Will not advertise products in elementary or middle schools20
● Effective 1/1/08
● Will use third-party licensed characters in ads directed to children only if ads
are for Smart Spot products
● Effective 1/1/08
● Will not pay for or actively seek placement of products in content of any
medium directed to children <12
● Effective 1/1/08
● Will only allow Smart Spot products to be incorporated into games designed
for children <12
PepsiCo.10
E-8
Nutritional
standards for
“Healthy Dietary
Choices”
Definition of
“Directed to
Children Under 12”
Policy on
Advertising Directed
to Children
● 100% of TV, radio, print, and Internet ads directed to children
<12 will be for products meeting nutrition criteria or include
healthy lifestyle messages
ConAgra
● is a good source of two or more nutrients24
● contains a serving of vegetables or one-ounce
equivalent of whole grains and
● 25% less sodium
23
● <35% fat calories
Canned pasta (per 8-oz serving)
● has <35% fat calories, <10% saturated fat
calories, 0 grams trans fat, “modest amount” of
added sugars
● packages with ≤100 calories or
Snack crackers
● 25% less sodium
● At least 1-ounce equivalent of meat and beans
● At least 10% Daily Value for one positive nutrient
● No more than: 200 calories, 0g trans fat, 25% calories from
added sugar, 480mg sodium
Nuts, Seeds, Peanut Butter (per serving)
● No more than: 100 calories, 35% fat calories, 10% saturated fat
calories, 0g trans fat, 25% calories from added sugar, 240mg
sodium
Pudding (per serving)
● At least 1/4 cup fruit or vegetable, or 8g whole grain
● At least 10% Daily Value for 2 positive nutrients
● No more than: 350 calories, 35% fat calories, 10% saturated fat
calories, 0g trans fat, 25% calories from added sugar, 750mg
sodium
Canned Pasta (per serving)
● At least 1/4 cup fruit/vegetable, or 8g whole grain
● At least 10% Daily Value for 3 positive nutrients
● No more than: 500 calories, 35% fat calories, 10% saturated fat
calories, 0g trans fat, 25% calories from added sugar, 760mg
sodium
Soups
● ≤ 150 calories per 8-oz serving and “positive
nutrition”22 or
Meals
● Uses third-party media measurements to determine audience
share (Nielsen, Simmons and/or MRI, comScore)
● 35% or more audience estimated to be children <12
“Sound food choices”:
● Using AC Nielsen data for TV, print, Internet
● “Disproportionate” portion of audience is children
aged 6-11 (i.e., roughly 2 times their proportion
in the U.S. population)21
● Effective for 2007-2008 business year (beg. 8/07) ● Effective September 2008 (Kid Cuisine, Peter Pan, Hunt’s
Snack Pack), June 2009 (Chef Boyardee)
● No ads directed to children <6
● Ads directed to children <12 will be for “sound
food choices”
(and subsidiary Pepperidge Farm, Inc.)
Campbell Soup Co.
Packaged Food Companies
E-9
● Does not actively seek or pay to place products
in content of any medium primarily directed to
children
Product Placement
● If used in ads directed to children, will be only for
“sound food choices”
● Will not advertise products in elementary
schools25
Third-party licensed
characters
Elementary school
advertising
● Effective already
● Will depict only sound food choices in any
interactive game primarily for use by children
Interactive games
(and subsidiary Pepperidge Farm, Inc.)
Campbell Soup Co.
● Effective June 2008
● Will not advertise food and beverages to children in elementary
schools
● Effective September 2008 (Kid Cuisine, Peter Pan, Hunt’s
Snack Pack), June 2009 (Chef Boyardee)
● Will only use in ads directed to children that promote products
meeting nutrition criteria or include healthy lifestyle messaging
● Effective June 2008
● Will not pay for or actively seek product placement in media
primarily directed to children <12
● Effective September 2008 (Kid Cuisine, Peter Pan, Hunt’s
Snack Pack), June 2009 (Chef Boyardee)
● Will limit use of food and beverages in interactive games
primarily directed to children <12 to products meeting nutrition
criteria and/or game will include healthy lifestyle messaging
ConAgra
E-10
Product Placement
Interactive games
Nutritional
standards for
“Healthy Dietary
Choices”
Definition of
“Directed to
Children Under 12”
● Effective 12/31/08
● Will not pay for or actively seek to place products
into content of any medium primarily directed to
children <12
● Effective 12/31/08
● Will only feature products that meet nutritional
criteria above in interactive games directed at
children <1234
● Effective 12/31/08
● Will not pay for or seek out product placement in content of any
medium directed primarily to children <12
● Effective 12/31/08
● Will only feature products that meet nutritional criteria above in
interactive games directed at children <1235
● ≤12g sugar33
• supplies at least ½ serving of whole grain, fruit,
vegetables, or fat-free or low-fat dairy and has
limited sodium, saturated and trans fats31
● 0g trans fat
● Either:
● ≤230mg sodium32
● ≤2g saturated fat
● ≤175 calories and
• meets FDA definition of “healthy” or
● ≤200 calories
● ≤12g sugar and
30
Per serving:
29
● Print media: specifically designed to appeal to, or primarily
targeted to, children <1228
● Radio, 3rd-party websites: projected audience 50% or more <12
• projected audience 35-49% children <12 and show is
specifically targeted to, or designed specifically to appeal
primarily to, children <12
• projected audience 50% or more children <12 or
● TV:
● Effective: 12/31/0826
● Will not target ads to children <6
● Will feature healthy messaging on company-owned Internet
sites directed to children <12
● TV, radio, print, third-party Internet sites ads directed to children
<12 will only advertise food that meets nutrition criteria
Kellogg
Per serving:
● For company-owned websites, consider factors
including content’s subject matter, format,
projected audience demographics
● 50% or more children <6
● 35% or more children <1227 or
● Effective between 6/1/07 and 12/31/08
Policy on
● Ads directed to children <12 will only advertise
Advertising Directed
food meeting nutrition criteria
to Children
● Will not target any ads to children <6
General Mills
E-11
Elementary school
advertising
Third-party licensed
characters
● No advertising directly to children in elementary schools
● Effective immediately, subject to existing contract obligations
● Effective 12/31/08
● Does not advertise in elementary schools
● Going forward will only use in ads directed to children <12 for
foods that meet nutrition criteria36
Kellogg
● Will only use in ads directed to children <12 for
foods that meet nutrition criteria
General Mills
E-12
● In any interactive game on website primarily
directed to children <12, only Sensible Solutions
products depicted
● Will not solicit or accept paid product placement
on any TV show or movie primarily directed to
children <12
● Will only use in ads for Sensible Solutions
products44
Product Placement
Third-party licensed
characters
● Product is “free,” “low” or 25% less in calories,
fat, saturated fat, sugar, or sodium, compared to
similar products
• Specific limits on nutrient amounts vary by
product category43
● Product contains limited amounts calories, fat
(saturated and trans), sodium, and sugar and
either provides positive nutrients at a meaningful
level or delivers a “functional benefit”42
There are 2 ways to qualify as a “Sensible
Solutions” product:
● Internet: 35% or more total visitors <1240
● Radio & print: primarily directed at children39
● TV: >35% of total audience is <12 or program
is shown during time period considered “kids
viewing time”38
● Effective since 2005
● No ads directed to children <6
● 100% of ads directed at children 6-11will be for
products meeting “Sensible Solutions” nutrition
criteria
Interactive games
Nutritional
standards for
“Healthy Dietary
Choices”
Definition of
“Directed to
Children Under 12”
Policy on
Advertising Directed
to Children
Kraft
● Will only such characters that particular appeal to children <12
in kid-directed ads for Eat Smart or Drink Smart products
● Effective already
● Will not pay for or actively seek food or beverage product
placement in content of any covered media primarily directed to
children <12
● Effective 10/15/07
● In any game primarily directed to children 6-11, only Eat Smart
or Drink Smart products will be used
● limited sodium (limit varies by product category)
● ≤25% sugar or limited added sugar
● ≤60mg cholesterol
● ≤2% total calories from trans fat
● ≤33% total fat from saturated fat
● ≤10% total calories from saturated fat
● for TV, whether ad appears during, just before, or just after “kids
programming”41
● whether ad was intended to appeal primarily to children <12
● whether the medium in which ad is placed is used primarily by
children <12
Based on analysis of factors:
● Effective as of July 200737
● No ads directed to children <6
● 100% of ads directed to children will be for products meeting
“Eat Smart” or “Drink Smart” nutrition criteria
Unilever
E-13
Elementary school
advertising
● Does not engage in in-school advertising and
marketing
Kraft
● Effective 10/15/07
● Will not advertise in elementary schools45
Unilever
E-14
Soups: Campbell’s 25% Less Sodium Chicken Noodle soup, Campbell’s Tomato soup, Campbell’s Chicken & Stars
soup, Campbell’s 25% Less Sodium Tomato soup, Campbell’s Dora the Explorer Soup, Campbell’s Shrek Shaped
Pasta with Chicken Broth soup, Campbell’s Souper Shapes Cars Soup
Campbell Soup Co.
Frosted Flakes cereal
Kellogg
YoGos Rollers (fruit snacks)48
Eggo frozen breakfast products
None – pledged no advertising to children <12
Fruit Snacks: Fruit by the Foot, Fruit Roll-Ups, Fruit Roll-Ups Stackerz, Fruit Gushers G Force, Fruit Gushers Flavor
Shock and Spider-Man 347
Yogurt: Yoplait Go-Gurt Fruit Flavors, Yoplait Trix Fruit Flavors Multi-pack, Yoplait Fizzix
Cereals: Cinnamon Toast Crunch, Cocoa Puffs, Cocoa Puffs Combo, Cookie Crisp, Honey Nut Cheerios, Lucky
Charms, Berry Lucky Charms, Chocolate Lucky Charms, Reese’s Puffs, Trix
Peter Pan peanut butter
Hunt’s Snack Pack pudding
Hershey Co.
General Mills
Chef Boyardee pasta
ConAgra
Kid Cuisine meals
None – pledged no advertising to children <12
Coca-Cola Co.
Canned pasta: Campbell’s SpaghettiOs (plain and meatball)
Snack crackers: Pepperidge Farm Goldfish Cheddar snack crackers and 100-calorie pack, Pepperidge Farm Goldfish
Cheddar Made with Whole Grain
None – pledged no advertising to children <1246
• 1% low-fat milk
• BK Fresh Apple Fries with low-fat caramel dipping sauce
• 4-oz serving of Kraft Macaroni & Cheese
Advertised meal will consist of:
Cadbury Adams
Burger King
Examples of “Healthy Dietary Choices” to be Advertised to Children Under 12
Examples of Brands and Products Meeting Pledge Nutrition Criteria
E-15
Unilever
PepsiCo.
McDonald’s
Mars
Kraft
Popsicle Sugar Free Life-Saver Pops
Fat Free Fudgsicle
Popsicle Firecracker
Popsicle Snow-Cone
Skippy Roasted Honey Nut Creamy Peanut Butter
Skippy Reducted Fat Creamy Peanut Butter
Skippy Natural Creamy Peanut Butter Spread
Skippy Creamy Peanut Butter
Certain Skippy and Popsicle brand products, e.g.:
Gatorade Thirst Quencher
Baked! Cheetos Cracker Trax Cheesy Cheddar and Spicy Cheddar flavored baked snack crackers
Baked! Cheetos Flamin’ Hot Cheese Flavored Snacks
Baked! Cheetos Crunchy Cheese Flavored Snacks
• a grilled Snack Wrap with a Fruit n’ Yogurt Parfait with granola and bottle of water
• a Hamburger Happy Meal with low fat white milk and apple dippers with low-fat caramel dip
• a 4-piece Chicken McNuggets Happy Meal with low fat white milk and apple dippers with low-fat caramel dip
None – pledged no advertising to children <12
Other: Lunchables Chicken Dunks, Lunchables Mini Tacos49
Cereal: Cocoa Pebbles
Snacks: Nabisco Cheese Nips Baked Snack Crackers, Soccer Ritz Bits cracker sandwiches, Honey Maid Grahams n’
Apple Dip
Beverages: CapriSun Roarin Waters (Tropical Fruit), CapriSun juice drinks (reformulated), Kool-Aid Singles
Examples of “Healthy Dietary Choices” to be Advertised to Children Under 12
Endnotes
1.
Internet advertising includes advertising on both third-party websites and company-owned websites. See
Children’s Food and Beverage Advertising Initiative: Initiative Program Document 1 (Initiative Program
Document), http://us.bbb.org/WWWRoot/storage/16/documents/InitiativeProgramDocument.pdf (last visited
July 9, 2008).
2.
Although Burger King and other companies reference Arbitron data as one means of determining whether
particular radio programming is directed to children, Arbitron does not, as of the date of this report, provide
data for the 2-11 age range. This appears to be an inadvertent error on the part of the companies. In any
event, it appears to be widely agreed in the industry that Radio Disney is the only commercial radio directed at
children.
3.
McDonald’s states that it generally does not utilize print media in its national advertising primarily directed to
children under 12. See McDonald’s USA, LLC, July 2007 Pledge at 2, available at Council of Better Business
Bureaus, Company Pledges, http://us.bbb.org/WWWRoot/SitePage.aspx?site=113&id=9a35a6f9-6768-4ad68b1d-9bb1039da8cd (last visited July 11, 2008).
4.
Burger King states that this commitment does not apply to any local activity engaged in by independent
franchisees, and, pursuant to the Initiative’s core principles, does not apply to displays of food and beverage
products, charitable fundraising, public service messaging, or items provided to school administrators. See
Burger King, Sept. 2007 Pledge at 4 n.12, available at Council of Better Business Bureaus, Company Pledges,
http://us.bbb.org/WWWRoot/SitePage.aspx?site=113&id=9a35a6f9-6768-4ad6-8b1d-9bb1039da8cd (last
visited July 11, 2008). See also McDonald’s USA, LLC, supra note 3, at 4 n.5.
5.
Cadbury states that it has a pre-existing practice of not advertising to children under 8. See Cadbury Adams,
USA, LLC, July 2007 Pledge at 1, available at Council of Better Business Bureaus, Company Pledges, http://
us.bbb.org/WWWRoot/SitePage.aspx?site=113&id=9a35a6f9-6768-4ad6-8b1d-9bb1039da8cd (last visited
July 11, 2008). As of the date of its pledge in July 2007, Cadbury advertised only one brand to children under
12 – Bubblicious. Id.
6.
Mars cites National Geographic Kids as an example of a child-directed print publication. See Mars, Inc., July
2007 Pledge at 3-4, available at Council of Better Business Bureaus, Company Pledges, http://us.bbb.org/
WWWRoot/SitePage.aspx?site=113&id=9a35a6f9-6768-4ad6-8b1d-9bb1039da8cd (last visited July 11, 2008).
7.
Although Mars has pledged not to direct any advertising to children, it provided criteria for products that would
constitute “Healthier Dietary Choices”: ≤150 calories, ≤2g cholesterol-raising fat, ≤0.5g trans fat, ≤35% sugar,
and one of the following: (1) is ½ serving of vegetable, fruit, whole grain or low fat dairy; (2) is 25% lower
in total fat, sodium or sugar, or (3) contains 20% Daily Value of a nutrient for which children ages 9-12 are
deficient, such as Vitamins E and K, Magnesium, Calcium, and fiber. See id. at 2.
8.
In connection with its pledge, Mars eliminated several online games originally developed for children under 12
that appeared on company websites featuring traditional confectionary or snack food products (i.e., those not
meeting nutrition criteria). See id. at 4.
9.
Hershey has also pledged not to license its brands for use on educational materials or materials intended
for use in elementary or secondary schools. See The Hershey Company, July 2007 Pledge at 1, available
at Council of Better Business Bureaus, Company Pledges, http://us.bbb.org/WWWRoot/SitePage.
aspx?site=113&id=9a35a6f9-6768-4ad6-8b1d-9bb1039da8cd (last visited July 11, 2008).
10. PepsiCo offers both beverage and snack food products, under the following brands: Pepsi-Cola, Aquafina,
Tropicana, Gatorade, Frito-Lay, and Quaker. See PepsiCo, Inc., July 2007 Pledge at 1, available
at Council of Better Business Bureaus, Company Pledges, http://us.bbb.org/WWWRoot/SitePage.
aspx?site=113&id=9a35a6f9-6768-4ad6-8b1d-9bb1039da8cd (last visited July 11, 2008).
11. Coca-Cola states that it has a historical and continuing practice of not placing ads for any of its beverages
in any media “primarily directed to, and [having] an audience of 50% or more,” children under 12. See The
Coca-Cola Company, July 2007 Pledge at 2, available at Council of Better Business Bureaus, Company
Pledges, http://us.bbb.org/WWWRoot/SitePage.aspx?site=113&id=9a35a6f9-6768-4ad6-8b1d-9bb1039da8cd
(last visited July 11, 2008).
E-16
12. PepsiCo states that it determines whether a particular media is directed to children under 12 in accordance with
guidelines set forth by the Children’s Advertising Unit (CARU) of the Better Business Bureau, which analyze
several factors: whether the media content is designed for children under 12 (e.g., subject matter, format,
characters, other advertising); whether the advertised product or service is intended for use by or of interest
to children under 12; where is the media itself promoted and advertised; available projections of audience
demographics (i.e., is a majority of the audience projected to be under 12); and, for TV, whether the program is
aired during what is generally considered “kids programming.” See PepsiCo, Inc., supra note 10, at 1-2.
13. “PIB” stands for Publisher’s Information Bureau, and “MRI” stands for Mediamark Research. See id. at 3.
14. Coca-Cola states that the company would submit a revised pledge if it decided in the future to advertise on
programming directed to children. See The Coca-Cola Company, supra note 11, at 2.
15. Specific nutrient limits and other requirements vary by food products category, such as beverage, food, or
snack, and are set forth at PepsiCo, Smart Spot Product Criteria, www.smartspot.com/about/criteria (last visited
July 11, 2008).
16. That is, the product must deliver “a functional benefit via natural or fortified ingredients proven to be
efficacious.” See id. One example provided in PepsiCo’s pledge is the beverage Gatorade, which has been
formulated for rehydration.
17. The reduction is measured in comparison to the “base product or other appropriate reference product.” See id.
18. Examples of these nutrients include: Vitamin A, C, iron, calcium, protein, or fiber. See id.
19. Coca-Cola states that it is updating its “vend fronts” in schools to replace “full calorie sparkling beverage
brands” with either non-commercial messaging or brands consistent with the company’s Model School
Guidelines and the American Beverage Association’s School Beverage Guidelines. See The Coca-Cola
Company, supra note 11, at 4.
20. PepsiCo’s commitment specifically includes “books covers, book packs, pencils, posters, and the like.” See
PepsiCo, Inc., supra note 10, at 4.
21. Campbell Soup Co. provided an “illustrative list” of media outlets for which is it assumed, for purposes of their
pledge, that ads are directed to children aged 6-11. Examples include:
●
Cable TV networks: Nickelodeon, Nicktoons, Cartoon Network, Toon Disney
●
Saturday Morning “Kids Block” on broadcast networks ABC, CBS, NBC, Fox, CW
●
Print publications: DC Comics Group, Disney Adventures, National Geographic Kids, Sports Illustrated
Kids, Nickelodeon Magazine
●
Company websites: myslurp.com, pfgoldfish.com
●
Third-party websites: Disney Channel, Cartoon Network, Nick, Neopets, Kaboose, WB, SI Kids, Yahoo!
Kids
●
Radio: Radio Disney
See Campbell Soup Company, July 2007 Pledge at Schedule B, available at Council of Better Business
Bureaus, Company Pledges, http://us.bbb.org/WWWRoot/SitePage.aspx?site=113&id=9a35a6f9-6768-4ad68b1d-9bb1039da8cd (last visited July 11, 2008).
22. E.g., a serving of vegetables, or 10% Daily Value or more of a vitamin or mineral. See id. at 3.
23. The reduction is measured in comparison to the largest-selling canned pasta item in that product category. See
id. at 5.
24. The nutrients will include one that is in short supply in children’s diets, such as fiber, calcium, potassium, or
vitamin E. See id. at 5.
25. Campbell Soup Co. has committed to limit its activities in elementary schools to: “(a) communicating public
service messages through materials provided to food service personnel, school administrators, or teachers
and designed for use in either classrooms or the lunchrooms; (b) supporting charitable fundraising activities
E-17
or other programs benefitting schools, through such efforts as our Labeling for Education program; and (c)
providing product display materials to foodservice personnel.” See id. at 8.
26. This effective date is subject to existing contractual obligations. See Kellogg Company, July 2007 Pledge at
2, available at Council of Better Business Bureaus, Company Pledges, http://us.bbb.org/WWWRoot/SitePage.
aspx?site=113&id=9a35a6f9-6768-4ad6-8b1d-9bb1039da8cd (last visited July 11, 2008).
27. Audience composition is to be determined using AC Nielsen ratings for TV and Internet, SRI Research for
radio, and Simmons and MRI data for print publications. See General Mills, Inc., July 2007 Pledge at 6,
available at Council of Better Business Bureaus, Company Pledges, http://us.bbb.org/WWWRoot/SitePage.
aspx?site=113&id=9a35a6f9-6768-4ad6-8b1d-9bb1039da8cd (last visited July 11, 2008).
28. Examples of covered publications cited by the company include: National Geographic Kids, Sesame Street
Magazine, Sports Illustrated Kids, Nickelodeon, American Girl, Boys Life. See Kellogg Company, supra note
26, at 3.
29. This limitation excludes sugar that naturally occurs in dairy, fruit and vegetables. Amount is per serving. See
General Mills, Inc., supra note 27, at 3.
30. General Mills sets forth FDA’s definition as follows: 3g or less total fat; 1g or less saturated fat and no more
than 15% of calories from saturated fat; 480 mg or less of sodium; 60mg or less cholesterol; at least 10% daily
value of vitamin A, vitamin C, calcium, iron, protein or fiber. See id. at 10.
31. Specific limits on these nutrients are: not more than 230 mg sodium for cereal and snacks or 480 mg for side
and main dishes; no more than 2g saturated fat; and 0g labeled trans fat. One-half serving is equivalent to: 8g
of whole grains, 1/4 cup of fruit or vegetable, ½ cup of fat-free or low-fat dairy. See id. at 9.
32. This commitment includes an exception for Eggo frozen waffle/products, which have a maximum allowable
sodium level of 460 mg under Kellogg’s nutrient criteria. See Kellogg Company, supra note 26, at 3 n.1.
33. This limitation excludes sugar that naturally occurs in dairy, fruit and vegetables. Amount is per serving. See
id. at 3
34. General Mills also pledged that company websites and interactive games directed to children under 12 will
feature a 30-minute “activity break” which pauses the game to encourage kids to engage in another “more
active” activity. See General Mills, Inc., supra note 27, at 12.
35. The company also states that it will limit access by children under 12 (through use of age screening and/or
parental consent) to company websites for brands that do not meet nutrient criteria. In addition, the company
has committed to implementing automatic breaks and lifestyle messaging on websites and webpages that are
targeted to or designed to appeal to children under 12. See Kellogg Company, supra note 26, at 4.
36. Kellogg notes that it will honor existing contractual obligations, most of which end during 2008, and all of
which end by December 31, 2009. See id. at 3.
37. As applied to Internet advertising, this commitment was effective October 15, 2007. See Unilever, July 2007
Pledge at 5, available at Council of Better Business Bureaus, Company Pledges, http://us.bbb.org/WWWRoot/
SitePage.aspx?site=113&id=9a35a6f9-6768-4ad6-8b1d-9bb1039da8cd (last visited July 11, 2008).
38. “Kids viewing time” is defined as “designated by media providers.” See Kraft Foods Inc., July 2007 Pledge at
3, available at Council of Better Business Bureaus, Company Pledges, http://us.bbb.org/WWWRoot/SitePage.
aspx?site=113&id=9a35a6f9-6768-4ad6-8b1d-9bb1039da8cd (last visited July 11, 2008).
39. This determination is made based on MRI- reported readership data for publications and Artbitron-reported
audience data for radio. Examples: American Girl, Boy’s Life, Disney Adventures, Girls’ Life, Highlights,
National Geographic for Kids, Nickelodeon, Nintendo Power, Official US Playstation, Official Xbox
Magazine, PSM Playstation 2, Sports Illustrated for Kids, Time for Kids, Tips & Tricks, Radio Disney. See id.
at 3.
40. Audience composition is based on Nielsen//NetRatings or comScore data. See id. at 3.
E-18
41. Unilever states that whether a program constitutes “kids programming” is determined based on the time of
day during which the ad appears and the media outlet, or if the program is counted toward the broadcaster’s or
cablecaster’s Children’s Television Act obligations. See Unilever, supra note 37, at 8.
42. For example, the product may contain 10% or more of the Daily Value of Vitamin A, C, or E, calcium,
magnesium, potassium, iron, protein or fiber, or may comprise at least a half-serving of fruit or vegetable. A
“functional benefit” may include heart health. See Kraft Foods, Sensible Solution Nutrition Criteria, http://
kraftfoods.com/kf/HealthyLiving/SensibleSolution/NutritionCriteria.htm#generalcriteria (last visited July 10,
2008).
43. Product categories include Beverages, Cereals, Cookies, and Crackers and Snacks. See Kraft Foods, Sensible
Solution Nutrition Criteria, www.kraftfoods.com/kf/HealthyLiving/SensibleSolution/NutritionCriteria.htm (last
visited July 11, 2008), for a complete list of product categories and relevant nutrition criteria.
44. Kraft states that it will only use licensed characters “on a long-term basis” in advertising for Sensible Solutions
products. The company also uses licensed characters in “short-term promotions” for brands across Kraft’s
portfolio, but has committed that any advertisements for such promotions will only feature Sensible Solutions
products. See Kraft Foods Inc., supra note 38, at 5.
45. Consistent with the Initiative’s Core Principles, Unilever states that this commitment does not apply to
displays of branded or unbranded food and beverage products, charitable fundraising activities, public service
messaging, or advertising directed to school administrators. See Unilever, supra note 37, at 5.
46. The only product advertised to children as of the date of Cadbury’s pledge was Bubblicious.
47. Chocolate Lucky Charms, Trix, and Yoplait Trix Fruit Flavors Multi-pack did not meet the sugar standard at
the time of General Mills’ pledge. Accordingly, the company committed to either reformulating the products to
meet the standard, or discontinuing advertising them to children under 12 by December 31, 2008. See General
Mills, Inc., supra note 27, at Schedule D.
48. Among the products that did not meet Kellogg’s nutrition criteria as of June 2007 were: Apple Jacks, Froot
Loops, Cocoa Krispies, Raisin Bran, and Rice Krispies cereals; Pop-Tarts toaster pastries (42 varieties);
and YoGos fruit snacks (5 varieties). Nearly 50% of Kellogg’s products did not meet the criteria as of June
2007. See Kellogg Won’t Market Sugary Cereals to Kids, CBS News, June 14, 2007, www.cbsnews.com/
stories/2007/06/14/health/main2926923.shtml (last visited July 11, 2008).
49. Among the products that did not meet Kraft’s nutrition criteria were: Original CapriSun juice drinks and KoolAid beverages, Original Oreos and Chips Ahoy cookies, Froot Loops cereal, Kraft “Handi-Snacks” snacks,
Original Lunchables lunch combinations, Kraft macaroni & cheese. See Transcript of FTC/HHS Forum
on Marketing, Self-Regulation & Childhood Obesity (July 18, 2007) at 29, available at www.ftc.gov/bcp/
workshops/childobesity/index.shtml.
E-19
Appendix F
Tables Summarizing Alliance for a
Healthier Generation School Beverage
and Competitive Food Guidelines
ALLIANCE FOR
A HEALTHIER GENERATION
I. School Beverage Guidelines
•
Participants: Cadbury Schweppes Americas Beverages, The Coca-Cola Company, PepsiCo,
The American Beverage Association, dairy processors and associations.
•
Guidelines apply to all beverages (outside of the school meal) sold to students on school
grounds during the regular and extended school day.1
Except as otherwise indicated, beverages in each category must meet ALL requirements listed:
Elementary School
Middle School2
High School
*at least 50% of non-milk
beverages must be water and
no- or low-calories options
Water
Yes
Yes
Yes
Milk
● Up to 8-oz serving
● Up to 10-oz serving
● Up to 12-oz serving
● Fat-free or low-fat
● Fat-free or low-fat
● Fat-free or low-fat
Juice
Other
● Regular or flavored
● Regular or flavored
● Regular or flavored
● ≤150 calories/8 oz
● ≤150 calories/8 oz
● ≤150 calories/8 oz5
3
4
● Up to 8-oz serving
● Up to 10-oz serving
● Up to 12-oz serving
● 100% juice
● 100% juice
● 100% juice
● No added sweeteners
● No added sweeteners
● No added sweeteners
● ≤120 calories/8 oz
● ≤120 calories/8 oz
● ≤120 calories/8 oz
● ≥10% recommended DV
for 3 or more vitamins,
minerals
● ≥10% recommended DV
for 3 or more vitamins,
minerals
● ≥10% recommended DV
for 3 or more vitamins,
minerals
Not permitted
Not permitted
Either:
● No- or low-cal beverages
with ≤10 cal/8 oz
Or:
● Up to 12-oz serving of other
drinks with ≤66 calories/8
oz
F-1
Examples from Participants’ School Beverage Catalogs6
Products Meeting Alliance Guidelines
Company
Elementary School
Middle School
High School
Cadbury
Schweppes
Snap-2-O (water)
Snap-2-O (water)
Snap-2-O (water)
Deja Blue (water)
Deja Blue (water)
Deja Blue (water)
Schweppes Sparkling Water (v)**
Canada Dry Seltzer (v)
Snapple 100% Juiced
Clamato
Diet Snapple (v)
Snapple Diet Green Tea (v)
Country Time Light Lemonade
Light Hawaiian Punch
Diet Dr. Pepper (v)
Diet 7-Up (v)
Diet A&W Root Beer
Diet Sunkist
Diet Canada Dry (v)
Coca-Cola Co.
Dasani (water)
Dasani (water)
Dasani (water)
Dasani flavored water (v)
Minute Maid 100%
juice (6.75 oz box)
● Kids + Orange
Juice
Minute Maid 100%
juice (6.75 oz and
10 oz) (v)
Minute Maid 100% juice (6.75 oz
and 10 oz) (v)
V8 Vegetable juice (v)
● Apple Juice
● Fruit Punch
Diet Coke (v)
Coca-Cola Zero
Sprite Zero
Diet Barq’s
FRESCA
Fanta Orange Zero
Minute Maid Light Orangeade
PowerAde Option (v)
Diet Nestea (v)
FUZE (v)
F-2
Company
Elementary School
Middle School
High School
PepsiCo
Aquafina (water)
Aquafina (water)
Aquafina (water)
Tropicana Pure
Premium Orange
Juice (6 and 8 oz
boxes) (v)
Tropicana Pure
Premium O.J.
Aquafina Sparkling (v)
Dole Plus Juice (v)
Tropicana Pure Premium O.J.
Aquafina Alive (v)
Dole Plus Juice (v)
Diet Mountain Dew
Diet Mug Root Beer
Diet Pepsi (v)
Diet Tropicana Twister Soda
Sierra Mist Free
Propel Fitness Water (v)
Diet Lipton Iced Tea (v)
Gatorade All Stars (v) (12 oz)
SoBe Synergy (v) (11.5 oz)
**
As used in this table, the symbol “(v)” indicates that multiple varieties or flavors of the product meet the
Guidelines criteria.
F-3
II. Guidelines for Competitive Foods
•
Participants include: Campbell Soup Company, The Dannon Company, Inc., Dole Food
Company, Kraft Foods Global, Inc., Masterfoods USA (a division of Mars, Inc.), PepsiCo
Inc., Stemilt Growers, and the Snack Food Association.7
•
Competitive foods are those for sale other than through the school’s meal program or entrees
sold through an a la carte program. They include snacks, desserts, side items and treats sold
in vending machines, a la carte lines, school stores, snack carts and as fundraisers.8
Except as otherwise indicated, foods in each category must meet ALL requirements listed:
Fruits & Vegetables
● No added sweeteners (fruit)
● Not fried (vegetables)
● If fresh, no calorie limit
● If packaged in own juice or dried, product may have up to:
• 150 calories for elementary schools
• 180 calories for middle schools
• 200 calories for high schools
Cheese
● Reduced fat or part-skim
● No more than 1.5 ounces/serving
Egg
● No added fat
● One egg limit9
Other
● ≤35% total calories from fat10
● ≤10% calories from saturated fat or ≤1 g saturated fat
● 0 g trans fat
● ≤35% sugar by weight
● ≤230 mg sodium11
● If dairy, must be low-fat or non-fat
● ≤100 calories12 unless product contains one or more additional nutritional
benefits13 – then, product may have up to:
• 150 calories for elementary schools
• 180 calories for middle schools
• 200 calories for high schools
F-4
Examples from Participants’ School Snack Catalogs14
Products Meeting Alliance Guidelines
Product
Category
Elementary School
Middle School
High School
Bars, Bites
& Baked
Goods
Quaker Chewy 25% Less
Sugar Granola Bars (v)**
All Elementary School
offerings plus:
All Elementary & Middle
School offerings plus:
Quaker Chewy 90-Calorie
Granola Bars (v)
Quaker Breakfast Cookies
(v)
On Track Energy Bars (v)
100-Calorie Pack Chips Ahoy!
Thin Crisps
All Elementary School
offerings plus:
All Elementary & Middle
School offerings plus:
100-Calorie Pack Cheese
Nips Mini
100-Calorie Pack Oreo Thin
Crisps
Honey Graham Snack Mix
Pepperidge Farm Goldfish
Snack Crackers (v)
Cornnuts Crunchy Toasted
Corn
Quaker Fruit Crisp Bars (v)
Quaker Oatmeal To Go (v)
Snacks
Stacy’s Pita Chips
Physedibles Baked Animal
Crackers (v)
Honey Maid Grahams
M&M’s Cookies
Snickers Clusters
3Musketeers Brownie Bar
Baked! Cheetos (v)
Baked! Lays (v)
Baked! Tostitos (v)
Reduced Fat Doritos (v)
Reduced Fat Smartfood
Popcorn
Stacy’s Soy Crisps
Frito-Lay Sun Chips
Teddy Grahams (v)
Combos Crackers (v)
Stemilt Sliced Apples (v)
Cookies,
Desserts
Jello Fat Free Pudding
Snacks (v)
Same as Elementary School Same as Elementary
offerings
School offerings
F-5
Product
Category
Elementary School
Middle School
High School
Dairy
Breakstones Cottage Doubles
(v)
All Elementary School
offerings plus:
All Elementary & Middle
School offerings
Knudsen’s Cottage Doubles
(v)
Danimals XL Drinkable
Lowfat Yogurt (v)
Dannon Creamy Fruit Blends
Lowfat Yogurt (v)
Frusion Smoothies (v)
Danimals Drinkable Lowfat
Yogurt & Smoothies (v)
Dannon Fruit on the Bottom
(v)
Dannon Light & Fit Nonfat
Yogurt (v)
Snackables Low Moisture
Part-Skim Mozzarella String
Cheese
Soup
Campbell’s Tomato
Condensed
Same as Elementary School Same as Elementary
offerings
School offerings
Campbell’s Goldfish Soup
Campbell’s Healthy Request
Soups (v)
Campbell’s V8 Soups & Chilis
(v)
Campbell’s Well and Good
Soups (v)
Side Items
**
McCain Foods Varieties
(including Ore Ida):
Same as Elementary School Same as Elementary &
offerings plus:
Middle School offerings
Fries, Shoestrings, Potato
Wedges, Potato Skins,
Hashbrowns, Sweet Potato
Thin Stix
Harvest Splendor Sweet
Potato Deep Groove
Crinkle
As used in this table, the symbol “(v)” indicates that multiple varieties or flavors of the product meet the
Guidelines criteria.
F-6
Endnotes
1.
The Guidelines do not apply to school-related events where parents and other adults comprise a significant
portion of the audience or are selling beverages as boosters. See Alliance for a Healthier Generation, School
Beverage Guidelines, www.healthiergeneration.org/beverages/ (last visited July 9, 2008).
2.
If middle and high school students have shared access to areas on a common campus or in common buildings,
then the school community has the option to adopt the high school standard. See id.
3.
Due to limited availability of flavored milk with less than 150 calories per 8-ounce serving, the calorie limit
for flavored milk is extended to 180 until August 31, 2008, and to 210 calories in California (180 calorie limit
thereafter). See id.
4.
See id.
5.
See id.
6.
See School Beverage Catalogs for Cadbury Schweppes, The Coca-Cola Company, and PepsiCo, available at
Alliance for a Healthier Generation, What Products Qualify, www.healthiergeneration.org/schools.aspx?id=774
(last visited July 9, 2008). The products listed in the table are illustrative examples only and do not constitute a
complete list of qualifying products.
7.
Other participants include: The Bachman Company, Barrel O’Fun, Blue Bunny, Bouquet of Fruits, Dale &
Thomas Popcorn, Have your cake and eat it too!, Kind Cakes, McCain Foods USA, and Nadja Foods.
8.
See Alliance for a Healthier Generation, Guidelines for Competitive Foods Sold in Schools to Students, www.
healthiergeneration.org/uploadedFiles/For_Schools/Helpful_Tools/Competitive%20Foods%20Guidelines%20
Text%20Version-09-03-07.pdf (last visited July 9, 2008).
9.
An equal amount of egg equivalent is permitted, with no added fat. See id.
10. Nuts, nut butters, and seeds are exempt from this limitation and are permitted. In addition, products with no
more than 7% of calories from saturated fat may have up to 40% calories from total fat until August 31, 2008.
See id.
11. Vegetables with sauce, and soups, may have up to 480 mg sodium if they contain one or more of certain
specified nutrients, and soups meeting that requirement may have up to 750 mg sodium until August 31, 2008.
See id.
12. Vegetables with sauce, and soups, may have up to 150 calories if they contain two or more of the following:
≥2 g fiber; ≥5 g protein; ≥10% daily value of Vitamin A, C, E, folate, calcium, magnesium, potassium, or iron;
≥1/4 cup fruit or vegetables. See id.
13. These benefits are: ≥2g fiber; ≥5g protein; ≥10% daily value of Vitamin A, C, E, folate, calcium, magnesium,
potassium, or iron; ≥1/4 cup fruit or vegetables. See id.
14. See Alliance for a Healthier Generation, Healthy Schools Product Navigator, www.healthiergeneration.org/
productnavigator/ (last visited July 9, 2008). The products listed in the table are illustrative examples only and
do not constitute a complete list of qualifying products.
F-7